The Department of Internal Affairs has given notice to gambling website 20Bet to stop advertising in New Zealand.
The offshore gambling website is registered in Cyprus but has been targeting New Zealanders with paid ads on YouTube promoting online pokies and sports betting.
Promoting overseas gambling is prohibited under the Gambling Act, and sports and racing betting is banned outright unless controlled by TAB.
"The Department is aware of recent advertising by 20Bet on YouTube," DIA director of gambling Vicki Scott told RNZ.
"We have instructed 20Bet to cease these activities. We will continue to monitor the situation and take further action if necessary."
Copy on 20Bet's website targets New Zealanders directly and claims that "taking risks is something that Kiwis like doing."
RNZ has approached 20Bet for comment.
Andrée Froude, director of advocacy for the Problem Gambling Foundation, applauded the action by DIA.
"We're seeing too many of these operators who are just blatantly advertising to New Zealanders despite the fact that it's illegal," she said.
"I know sometimes the DIA has tried to take action against some of these operators and it's difficult when they're based overseas. Hopefully we will see the advertising stop."
She said offshore gambling websites would often try their luck in New Zealand.
"We're hearing about it all the time," she said.
"This is an opportunity to urge people to report it to the DIA when they see these offshore operators advertising particularly on YouTube, that's the platform where a lot of these ads come through."
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