Thirteen offshore gambling sites have been found to be using New Zealand website addresses, with one even using the country's coat of arms.
These sites have ".nz" in their web addresses but are not operating in New Zealand nor have they been regulated within the country.
Only Lotto and TAB have approval to run gambling products in New Zealand.
The Department for Internal Affairs (DIA) will continue to monitor the situation and check for illegal operators using its web addresses.
The review is expected to be finished by next year.
DIA's Director, Chris Thornborough, said: "One of the sites we contacted was brazen enough to use the government's official coat of arms.
“We can only presume this was done to suggest some sort of formal connection with the New Zealand government or our local gambling laws."