Austrian authorities recently busted an illicit lottery operation out of Vienna. This was the result of a combined effort by the Vienna State Criminal Police Office and the Office for Fraud Prevention’s financial wing.
Following the raid, authorities recovered evidence of the unlawful operation, including those of tax evasion. Those involved now face various charges in accordance with the country’s tax and gambling regulations.
Key Points of the Story
- The scheme promised consumers high-value prizes, including luxury vehicles from brands like Audi and BMW and Rolex watches.
- The operator sold thousands of lottery tickets throughout Europe via Facebook and other social channels.
- Authorities say the business was operated by a 30-year-old man out of a quiet residential building in Floridsdorf.
Proof of Massive Tax Evasion
In a press release, Austria’s Ministry of Finance revealed that the lottery operator did not have the required authorisation, thereby violating the country’s gambling regulations concerning unlicensed iGaming activities and tax laws. The scheme promised high-value prizes such as Rolex watches and high-end vehicles from BMW and Audi.
The operator reportedly sold thousands of tickets via Facebook and other online channels, which were the primary distribution networks, throughout Europe. Players were easily attracted by the promise of high-value rewards and purchased tickets online or in person from an undisclosed location in Vienna.
Investigators revealed that a 30-year-old man headed the operation from a quiet residential building in Vienna’s 21st district. The modus operandi was direct ticket sales from a nondescript headquarters while collecting funds digitally. Authorities grew suspicious after recovering proof of an illegal operation, which prompted them to dig deeper.
Thorough investigation revealed a flourishing, deep-rooted network with deliberate efforts to evade Austria’s gambling regulations and taxation policies. Once authorities had gathered sufficient evidence, a full-blown raid was carried out on March 26, 2025. Multiple law enforcement agencies and WEGA worked in tandem to carry out the operation successfully.
The authorities found detailed records of players’ deposits, which helped them understand the true scale of this illicit operation. Investigators say the unlawful lottery operation generated six-figure revenue in euros and was completely off the books.
Broader Crackdown on Illegal Operations
The suspects face trial under the Gambling Act, and financial criminal proceedings are underway. Immigration officials have also joined the investigation, as multiple suspects are said to be Serbian nationals residing in Austria without proper documentation. Hence, deportation is also being considered.
In a press briefing, Austrian Finance Minister Markus Marterbauer and State Secretary Barbara Eibinger-Miedl praised the efforts of all those involved. They also highlighted the importance of seamless cross-agency cooperation in tackling unlawful gambling activities and tax evasion attempts.
Apart from criminal proceedings, the authorities may also invoke civil lawsuits as lottery participants seek compensation. Players who purchased tickets from the unlawful operator have the right to pursue legal recourse and claim compensation for their financial losses.
However, the result of such efforts solely rests on judicial proceedings and the value of the recovered assets. This case highlights the need to curb illegal gambling operations that have been mushrooming across Europe. The authorities are closely monitoring and clamping down on illicit gambling networks that often rely on international digital payment systems and social media platforms.
Facebook has been in legal crosshairs before as well. The social media giant stands accused of facilitating illegal gambling websites that promote their services while the moderators look the other way. This latest bust will once again shine the luminaire on Facebook and its parent company, Meta’s modus operandi.