The Department of Internal Affairs

Department of Internal Affairs | Te Tari Taiwhenua

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Christchurch company & director plead guilty to illegal multi-million dollar online lottery, in NZ first


23 January 2026

A Christchurch company director has pleaded guilty to illegal gambling offences related to the largest ever illegal lottery in New Zealand, following an investigation by the Department of Internal Affairs.

Appearing in Christchurch District Court today, Waiariki McIlroy-Jones, director and owner of Jonez LRC Ltd, and his company entered guilty pleas for conducting illegal gambling and making a pecuniary gain from illegal gambling under the Gambling Act 2003.

“In a little over a year, this lottery generated over $11 million in revenue, making it the largest illegal lottery ever identified in New Zealand,” says Vicki Scott, Director Gambling, at the Department of Internal Affairs.

“Lotteries on this scale are required by law to be licensed and must be conducted for community benefit. In this case Mr McIlroy-Jones sought to pass off his on-line lottery as a ‘sales promotion scheme’ entirely for self-serving interests and personal gain.

“This is the first prosecution of an online illegal lottery in New Zealand. It clearly signals our lack of tolerance for anyone who tries to evade the strict controls in the Gambling Act that are there to ensure gambling is fair, well-run and responsible, and that any potential harm is minimised to keep our communities safe. It also means money goes back to the community.

“Our investigation, which included the search of multiple addresses across Christchurch and North Canterbury in July 2023 found that Mr McIlroy-Jones personally benefitted from selling illegal lottery tickets via online platforms with prizes like high value cars, boats, caravans, cash and a freehold house on offer.

“This successful prosecution should serve as a stark warning to anyone involved in running an illegal lottery of any scale that they can expect to find themselves the focus of our investigators,” Vicki Scott, says.

Under the Gambling Act, gambling with prizes that exceed $5,000 can only be conducted by a not-for-profit society for authorised purposes and requires a class 3 gambling licence to ensure the integrity of the operation and protection of participants.

Money and assets associated with the offending are currently subject to a High Court restraining order and forfeiture of the proceeds and assets will be sought under the Criminal Proceeds (Recovery) Act 2009 by the Commissioner of Police.

The defendants will return to court for sentencing on 29 May 2026.

For more information on gambling regulation visit dia.govt.nz/Gambling.

ENDS

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