SkyCity says it will now pay a $60,000 jackpot to a man banned from its Auckland casino at his own request.
The Department of Internal Affairs says that, under the Gambling Act, there is no reason why the company could not pay Sothea Sinn his winnings.
In August last year, SkyCity refused to pay the 28-year-old because he earlier asked to be banned as a problem gambler.
Mr Sinn had also not met the casino's re-entry condition of undertaking counselling and then formally reapplying for entry.
SkyCity lawyer Peter Treacy says the company stands by its policy and finds it ironic to be giving him the money, even though he still has a gambling addiction.