SkyCity online set for legal showdown surrounding NZ legality
SkyCity Entertainment Group is facing a class action lawsuit over its Malta-based online gambling platform, with a United States-funded legal group seeking to challenge the legality of the operation and recover losses gamblers within New Zealand.
The casino operator confirmed in a statement to the market that proceedings had been filed targeting SkyCity Online, which has operated since 2020 through Malta-based subsidiary SkyCity Malta and platform provider Silvereye.
The claim relates to gambling losses incurred by New Zealand customers between February 2020 and February 2026.
According to reports, the plaintiffs are attempting to test whether the offshore platform was lawful under New Zealand gambling legislation. The claim reportedly seeks refunds for every wager lost by New Zealand customers on the site, arguing the operation was effectively illegal despite being licensed offshore.
New Zealand, until recently, had thousands of offshore online gambling companies targeting them, with many still accepting Kiwis, with SkyCity’s problem being they are the main retail casino operator in the country
SkyCity launched the Malta operation after citing increasing competition from international online casinos targeting New Zealand residents.
In its market disclosure, the company denied liability and said it would actively defend the proceedings while continuing to review the claim.
At this stage, the legal action targets the offshore online business rather than SkyCity’s land-based New Zealand casino operations. The country is in the midst of regulating iGaming, with SkyCity already indicating they would be partaking in the licensing process.
