Wrestling with logic

The story about sumo wrestlers admitting to fixing matches (as reported in various papers today, including the Guardian and the Independent ) is an interesting one, no?

Correct me if I'm wrong, but isn't Japan the beacon of light for those who rail at the gambling industry?

There's a tote monopoly there, so horseracing loves it on the grounds that, they say (ignoring the plight of the punter and the black market that is created by doing so), it provides more money than other systems do.

And - fairly obviously, therefore - there are no bookies, which surely means (if you follow the logic of those who say that the increase in betting with licensed bookmakers is the cause of more corruption in sport) that there must be no corruption either.

Except, it turns out, there is.

So is there something wrong with a bit of the logic above, or is this just firm evidence that the argument advanced by European opponents to licensed gambling on the grounds of the threat to sport is a load of old cobblers?