By Guyon Espiner, of RNZ
8:40am

Authorities have launched a crackdown on social media influencers promoting offshore online casinos, warning they face hefty fines if they fail to remove the illegal content.


The Department of Internal Affairs (DIA) said it had issued its first-ever takedown notices amid a surge in influencers promoting overseas gambling operators.


Director of gambling regulatory services Vicki Scott told RNZ influencers had been partnering with overseas-based online casinos, promoting the sites with live streaming, promotional giveaways and links to their websites.


Under the Gambling Act it is illegal to publish an advertisement for an offshore gambling operator.


"We've been investigating this and we will be taking actions in relation to those influencers who are very publicly and clearly breaking the law."

Scott said if the influencers did not comply, it could issue fines of up to $10,000 per breach.


"It doesn't seem like a lot of money, but when you think that they'll be
liable every single time they run one of these ads, they could quite quickly rack up."


But the Problem Gambling Foundation said the DIA was being too soft.


"I think the DIA actually needs to fine them - fine these influencers and the gambling operators - and just send a really clear message that they're
breaking the law," spokesperson Andree Froude said.

Many of the offshore casino sites were using Maori social media influencers
to target Maori gamblers, she said.


"The blatant targeting by these casinos who are using Maori influencers is
just appalling."


Maori were three times more likely to be moderate-risk or problem gamblers
than non-Maori, according to the Ministry of Health.


DIA had issued four warning letters and was investigating 13 other
influencers, but Scott said there may be several dozen breaking the law.


"All it takes is to pick up your phone, look at your social media, and
they're everywhere."


DIA will not name the influencers "to protect their privacy and their right
to dispute their warnings" but it provided RNZ with one of the warning
letters, with personal details redacted.


"The department recommends that you immediately cease posting any reference
to overseas online gambling or gambling operators to your social media," the letter said.


Because the online gambling market was not regulated, New Zealand authorities had no ability to enforce harm minimisation or consumer protection standards, Scott said.


"It's a free-for-all out there."


The government was now moving to regulate the online casino gambling industry for the first time, offering up 15 licenses, which would be sold off at
auction in a new market expected to launch in February 2026.


The new operators, expected to mostly be foreign-owned multinational gambling companies, would be able to advertise for the first time.

The Problem Gambling Foundation said that would result in a bombardment of advertising, and called for a ban on all gambling promotion in New Zealand.


rnz.co.nz

--- Mystic BBS v1.12 A44 2020/02/04 (Windows/64)
* Origin: S.W.A.T.S BBS Telnet swatsbbs.ddns.net:2323 (63:10/102)