Class Action Lawsuit Filed Against SkyCity Over Malta-Based Online Casino Operations

SkyCity Entertainment Group has rejected allegations raised in a proposed class action lawsuit linked to gambling losses at its Malta-based casino platform, SkyCity Online, available to players in New Zealand and other jurisdictions.

The action was filed this week and names several entities connected to the operator, such as SkyCity Entertainment Group, SkyCity Auckland Holdings and Silvereye Entertainment. Plaintiffs aim to challenge the legality of online gaming services offered through the SkyCity Online platform under an offshore licence.

The claim also seeks to proceed as a class action, covering alleged wagering losses incurred between February 2020 and February 2026.

SkyCity issued a statement rejecting liability in relation to the claims and confirmed it will contest the proceedings. The company ascribed the case as a targeted attack from a US-backed group.

Online Casino Operates Under Malta Licensing Structure

SkyCity said the online casino in question is operated by Silvereye Entertainment, an overseas subsidiary that has been active under a Malta Gaming Authority license since 2021.

The operator explained that the SkyCity Online platform is supplied and managed through Gaming Innovation Group and other third-party providers rather than directly by the parent company.

According to SkyCity, this structure follows common industry practice where licensed operators use external platforms and services to manage online gaming products. The company also pointed out that regulatory oversight for Silvereye’s operations falls within the Maltese licensing framework.

Plaintiffs Seek Compensation For Six Years Of Gambling Losses

The claimants are seeking court approval to pursue compensation covering gambling losses accumulated over a six year period. The lawsuit raises questions around jurisdiction, licensing structures and the ability of offshore platforms to service players in New Zealand.

If the court allows the case to proceed as a class action, individuals who placed wagers through the platform during the specified timeframe could be eligible to join the claim. Plaintiffs are seeking restitution linked to losses recorded through the online casino.

SkyCity noted that the legal action challenges the lawfulness of its offshore online operations rather than admit misconduct by the company.

The operator has faced regulatory scrutiny in other jurisdictions in recent years. Earlier this year authorities allowed the company to retain its licence to operate the Adelaide Casino following an independent suitability review.

New Zealand Moves Toward Regulated Online Gambling Market

New Zealand is currently developing a framework to regulate online casino gambling domestically. Presently, the country does not issue iGaming licences.

The government recently confirmed that the licensing process will begin in July. Officials plan to introduce a three-stage system that will ultimately allocate up to fifteen operator licences.

The proposed framework is designed to bring local oversight to a market historically served by offshore providers. Estimates suggest that players in New Zealand spend more than NZ$750m yearly on foreign online casinos.

Last week, Entain indicated that it may apply for up to three licences as part of its long-term strategy in New Zealand. Authorities expect the regulated online casino market to launch in 2027.