Court sentences operator of New Zealand’s largest illegal lottery
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The case represents the first prosecution involving an illegal online lottery in New Zealand.
New Zealand.- Christchurch District Court has sentenced Waiariki McIlroy-Jones to six months’ community detention and 250 hours of community work for operating what authorities described as New Zealand’s largest illegal lottery. The case represents the first prosecution involving an illegal online lottery in the country.
The sentence was handed down by Judge Raoul Neave today after the court reserved its decision in an earlier hearing. McIlroy-Jones had pleaded guilty both personally and on behalf of his company to charges of conducting unlawful gambling under the Gambling Act 2003 and deriving financial gain.
The Department of Internal Affairs (DIA) launched an investigation into the operation in 2023 and carried out searches at properties in Christchurch and North Canterbury. Investigators found that lottery tickets were sold through online platforms for draws offering prizes including luxury vehicles, boats, caravans, cash and a mortgage-free house.
According to the DIA, the operation generated more than NZ$11m in just over a year. Authorities said the business relied heavily on social media promotion and used incentives such as discounted entries and bonus entry offers to encourage spending by participants.
Approximately NZ$4m (US$2.2m) worth of assets have been seized, and police are pursuing forfeiture proceedings under the Criminal Proceeds (Recovery) Act 2009.
DIA director of gambling Vicki Scott said the case should serve as a reminder to businesses running promotional competitions to ensure they comply with gambling laws. Under New Zealand law, gambling involving prizes worth more than NZ$5,000 (US$2,820) can only be conducted by not-for-profit organisations for authorised purposes after obtaining a Class 3 gambling licence.
The case represents the first prosecution involving an illegal online lottery in New Zealand. New Zealand.- Christchurch District Court has sentenced Waiariki McIlroy-Jones to six months’ community detention and 250 hours of community work for operating what authorities described as New Zealand’s largest illegal lottery. The case represents the first prosecution involving an illegal online…
