Nederlandse Loterij has taken legal action against Skyhills, seeking to stop the unlicensed gambling operator from serving customers in the Netherlands. The organisation has ordered the companies and directors involved with the platform to cease their activities and is seeking further information about its corporate structure.

The action has already resulted in Skyhills becoming inaccessible in the Netherlands. The operator behind the site, Curaçao-based Skyhills N.V., does not hold a Dutch gambling licence, yet Dutch consumers were able to register and place bets through the platform.

The parties connected to the operation are based across Costa Rica, North Macedonia, the United Kingdom, Curaçao, Malta and the Marshall Islands. Nederlandse Loterij wants to establish who controls the operation and determine whether further legal action should follow.

Arjan Blok, CEO of Nederlandse Loterij, said in a press release: “Player protection is paramount at Nederlandse Loterij. We want players to be able to participate in our games of chance in a safe and responsible manner. Skyhills is using devious advertising, including on TikTok, to explicitly target Dutch players and especially young people. They can gamble there completely unprotected, with all the associated risks. That is unacceptable. Therefore, it is good to see that after our first step, the Skyhills site went offline immediately.”

The organisation has described Skyhills as the third illegal gambling site it has targeted through legal proceedings. Its wider approach focuses on establishing liability among the operators and other parties that support unlicensed gambling businesses.

Skyhills Joins Growing Legal Offensive

Nederlandse Loterij previously pursued proceedings against Qbet and Lalabet.

The Qbet case began with civil action against the company’s operators and directors. The Dutch Gambling Authority had already imposed a record €24.8 million fine on Qbet for operating two brands in the Netherlands without the required licence. Nederlandse Loterij subsequently sought to establish liability extending to operators, trust offices, shell companies and directors associated with the business. The case remains ongoing, with a ruling expected later.

The earlier Lalabet proceedings have produced a ruling in favour of Nederlandse Loterij. The court ordered the parties behind the Costa Rica-based gambling site to stop offering gambling services to Dutch consumers and found that the operator had acted unlawfully towards the lottery organisation.

The court also required information concerning Lalabet’s corporate structure, including details of its shareholders and owners. Nederlandse Loterij considers such information useful in identifying other parties connected to illegal gambling activity.

The ruling further established that trust administrators and local representatives that facilitate illegal gambling sites can potentially be held liable. However, the court did not find that Curaçao trust company DECC and its directors had acted unlawfully. It concluded that there was insufficient proof that the directors knew they were providing services to a company operating an illegal gambling site in the Netherlands.

Nederlandse Loterij has challenged that part of the decision. The organisation argues that trust companies have a responsibility to investigate their clients and their activities. It has also said that investigations indicate DECC is connected to both Qbet and Skyhills.

Lottery Challenges Proposed Advertising Ban

The Skyhills action comes shortly before a parliamentary debate on gambling scheduled for September 3. Nederlandse Loterij is using the debate to call for stronger action against illegal operators.

Blok supports planned changes that would give the Dutch Gambling Authority greater powers to intervene against unlicensed gambling sites. He has also warned that legislative changes can take years to become effective.

“That is why the government must do more now to tackle illegal gambling sites, for example through criminal prosecution by the Public Prosecution Service,” he said. “This is in addition to the legal steps that the regulator and Nederlandse Loterij, as a legal provider, can take.

“We must fight illegal gambling sites where players are completely unprotected together. Banks, payment providers, and hosting services also have a responsibility in this.”

Blok has also criticised proposals for a total advertising ban covering licensed online gambling operators. Nederlandse Loterij argues that legal providers should retain limited advertising opportunities because consumers may otherwise encounter illegal operators that continue to promote their services.

According to the organisation, illegal gambling businesses now account for half of the Dutch gambling market and are responsible for 95% of gambling advertisements. It also estimates that approximately 200,000 Dutch consumers currently gamble illegally.

The lottery therefore argues that removing advertising from licensed operators could further benefit businesses operating outside the regulated market.

“A total ban on advertising for legal providers therefore plays into the hands of illegal gambling sites,” the lottery warned.

Blok separately reiterated the organisation’s emphasis on consumer protection, saying: “Player protection is paramount at Nederlandse Loterij. We want players to be able to participate in our games of chance in a safe and responsible manner.”