SkyCity Auckland Casino. Photo / Dean Purcell
Casino operator SkyCity is facing a lawsuit over its online gaming and gambling operations.
It’s unclear who is behind the lawsuit.
SkyCity Entertainment Group announced on the NZX Friday that it has received notice of proceedings against SkyCity, SkyCity Auckland Holdings and Silvereye Entertainment (a third party based in Malta).
The company said the lawsuit is “seeking to test the lawfulness of the online gaming operations operated by Silvereye on behalf of an overseas subsidiary of SkyCity”.
According to SkyCity’s latest half-year report, revenue from the online casino operations is derived from gaming activities by New Zealand-based players using a platform developed by Gaming Innovation Group (GiG) and operated under a Malta gaming licence held by Silvereye Entertainment, a subsidiary of GiG.
“GiG is therefore the principal transacting with the online casino customers (and not SkyCity),” it said.
“Revenue is reported net of costs payable to GiG under contractual arrangements agreed with GiG.”
SkyCity sold its equity investment in GiG in June 2024 but said it continued to have a “valuable relationship” through its involvement with SkyCity Online.
In the six months to December 31, it reported $1.6 million in online gaming revenue, down from $2.1m in the same period a year earlier.
Overall, the casino group’s revenues were down 2.4% on the prior period to $411.7 million.
The proceedings announced on Friday include an application to bring the proceedings as a funded class action for gambling money lost to SkyCity Online between February 2020 and February 2026.
“SkyCity denies any such liability and will actively defend the proceedings,” the announcement said.
SkyCity has been contacted for comment.
Read more on this story at BusinessDesk
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