As football season prepares for kick off, a former AFL star who lost millions from gambling has warned the explosion in betting threatens the sport's integrity and opens the door to organised crime.

Former Melbourne Demons vice-captain David Schwarz estimates his gambling addiction cost him as much as $5 million.

While much of the Australian Crime Commission's recent report focused on drug use in professional sport, Schwarz says gambling is the biggest threat to the sport.

"I'm not going to sit here and say that the punt is evil," he told 7.30.

"But it doesn't help when you have betting agencies just throwing millions and millions of dollars at that vulnerable punter, or that punter that may not even be a punter to try and lure them in."

Odds are now spruiked right through many match broadcasts, and Schwarz says the idea of having a punt is now ingrained in many young fans.

"The last thing I want is my child or any children to be judging who the best side is because they're a $1.40 favourite rather than because they have better players, and I think its that ingrained now in the youth," he said.

"The betting agencies have done such a wonderful job at doing that - I know my son does it. He knows that Collingwood are favourites on a Friday night because they're $1.63.

"We're at that stage it has gone too far. It needs to be pulled back in some way. I'm not sure how that would be but it's dictating to us rather than the sport dictating to them."

Problems with gambling are not confined to AFL players and fans.

Last week, rugby league star Ben Barba had to step down as the face of the game to seek treatment for gambling and drinking.

Former Newcastle Knights player Owen Craigie has also spoken out about his problem gambling.

Once hailed as one of the most gifted players to take to the field, a gambling addiction meant Craigie never fulfilled his potential.

"When you add everything up, it's in the vicinity of $1.5 million," he said.

"I won a premiership, but I lost everything - lost my house, even lost my own life to addiction."

Owen Craigie was once hailed as one of the most gifted players to take to the field ( Getty Images: Daniel Berehulak, file photo )

Schwarz says he fears the wave of betting will do more than create a new legion of problem gamblers.

He believes it will open the door to criminal gangs and match-fixing.

"It's a serious issue. Organised criminals don't care about the individual, they care about their pockets," he said.

"Clubs have to be so vigilant not to let these people into their clubs and let them filter their way through and spread like a cancer, because it'll bring the club undone."

Sports psychologist Jeff Bond, who worked at the Australian Institute of Sport and the Richmond Football Club, says action must be taken to stop criminals infiltrating clubs.

"I think the connections with gambling must somehow influence the opportunities for untoward or inappropriate involvement by some of the criminal networks around the country," he said.

"I think every time where there's the possibility you'd have to question the opportunity for match-fixing, for hooking - for want of a better term - celebrity players into those networks."

He was so concerned about players being corrupted that he hired a convicted criminal to warn them of the risks.

"He said one of the activities was that they would try to find out what the players' needs are. If it was to look after a gambling debt, then obviously the network would do that," he said.

Right to advertise

The Senate is conducting an inquiry into sports betting and its impact on the integrity on the major sporting codes.

Former Victorian premier Jeff Kennett has called for an immediate ban on the promotion of sports betting.

But Chris Downy from the Australian Wagering Council says like any industry, betting organisations have the right to advertise.

"It's a legal product, it's highly regulated just like any other legal product and our industry has the right to advertise," he said.

"We have responsible gambling practices in place just like every other gambling organisation in this country has.

"We know more about your practices than any other land-based operator would know. We know when somebody might be betting too much and needs some help."

But he concedes he does not know how many gamblers the council's members have stopped.

Betting operators, broadcasters and various sporting bodies have agreed to a new code which includes a ban on commentators referring to live odds on matches during play.

But Malcolm Speed, who heads a coalition of seven major sporting codes, says clubs may be willing to consider further changes if new evidence shows it is warranted.

He says, however, that changing laws surrounding advertising betting would make no difference to corruption in sport.

"It's a different issue," he said.

"People who are inclined to corrupt sporting events by match-fixing or spot fixing aren't going to be influenced in any way by advertising carried at a sporting events."

Meanwhile this week, the Victorian Government will introduce legislation that will see match-fixing in sport punishable by up to 10 years' imprisonment.

Federal Sport Minister Kate Lundy has welcomed the move, saying it will help protect the integrity of sport in the state.

"This legislation sends a strong message that corruption in sport will not be tolerated and that the rigging of a sporting event for personal gain is a crime," she said in a statement.

"Victoria joins New South Wales and South Australia in acting against match-fixing and I now call on the other states and territories to follow their lead and take action to protect the integrity of sport."