The case is the first successful prosecution involving an illegal online lottery in New Zealand.
New Zealand.- A Christchurch-based company and its director have pleaded guilty in the Christchurch District Court to running New Zealand’s largest illegal online lottery. Waiariki McIlroy-Jones, owner and director of Jonez LRC Ltd, admitted to conducting illegal gambling and making a pecuniary gain from it under the Gambling Act 2003.
The operation allegedly generated more than NZ$11m (US$6.9m) in revenue in just over a year. The Department of Internal Affairs (DIA) said lotteries of this scale with prizes above NZ$5,000 (US$3,140) must be conducted through authorised not-for-profit societies with Class 3 licences.
An investigation that included searches across Christchurch and North Canterbury found that participants purchased entries online for chances to win high-value cars, boats, caravans, cash and a freehold house estimated at around NZ$900,000 (US$565,000) at the time authorities intervened.
The DIA’s Director of Gambling, Vicki Scott, described the scheme as the largest illegal lottery identified in New Zealand to date and that the prosecution sends a clear message about enforcement. “Mr McIlroy-Jones sought to pass off his online lottery as a sales promotion scheme entirely for personal gain,” she said.
Court records show more than 287,000 entries were purchased by 69,500 customers over roughly 12 months, with the lottery’s revenue continuing to grow even as the DIA prepared its case. Money and assets linked to operation are subject to a High Court restraining order. Police will seek forfeiture under the Criminal Proceeds (Recovery) Act 2009.
The case is the first successful prosecution in New Zealand involving an illegal online lottery. McIlroy-Jones and Jonez LRC are scheduled to return to court for sentencing on May 29.
The case is the first successful prosecution involving an illegal online lottery in New Zealand. New Zealand.- A Christchurch-based company and its director have pleaded guilty in the Christchurch District…
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