Kiwi online casino has become one of the most
recognizable gaming sites New Zealand bettors over the years. First launched in
2000, Kiwi has been doing business with New Zealanders alongside the
monopolistic betting giant TAB. However, since August of 2006, the Kiwi
governmental Internal Affairs Department has ruled that Christchurch Casino's
involvement in the online gambling industry is a direct breach of the Gambling
Act, which was passed in 2003. Now, Christchurch has been given an ultimatum to
exit the online gambling industry within seven months.
Christchurch is the parent company of Kiwi Casino and
also manages a small network of other gaming sites, including online bingo and
poker rooms. The company had originally told the Internal Affairs Department in
2006 that they intended to sell their online gaming operations. In March of this
year, Christchurch Casino's informed the Department they had indeed sold their
gaming operations.
Although Internal Affairs confirmed they did not
send a letter to Christchurch requesting them to exit the online gambling
market, the Department followed up with a prosecution because of the apparent
intentional stalling and questionable practices being employed by Christchurch
Casinos. After taking up legal counsel with Crown Law, Internal Affairs was
confident in their decision to give Christchurch the ultimatum. Just as soon as
it is confirmed that Christchurch's online gaming sites are not owned by a New
Zealand business, the investigation will be closed.
The investigation, it seems, appeared to stem from
allegations and charges that Kiwi Online Casino was in the practice of loan
sharking and other questionable activities. It was ruled that Kiwi Casino was
not being properly managed and the the Department of Internal Affairs was not a
suitable regulator for the online gambling sector. Nonetheless, Kiwi Casino was
given the benefit of the doubt and was left alone until the passing of the
Gambling Act and a new investigation was taken up.