Block billionaire Adrian Portelli is funding his lavish party lifestyle with a “deplorable” business practice that preys on the poor, an anti-gambling campaigner has warned.
Portelli, 35, popularly known as ‘Mr. Lambo’ has been charged over the conduct of his private lottery business LMCT+, Daily Mail Australia exclusively revealed on Thursday.
South Australian Business and Consumer Services launched an investigation into the operations of the Melbourne businessman’s lottery business in September last year.
South Africa’s government department confirmed it was prosecuting Portelli and Xclusive Tech Pty Ltd, trading as LMCT+ just a day after Portelli handed out $150,000 worth of Coles vouchers to western Sydney residents struggling to buy groceries.
Portelli faces nine counts of conducting/aiding to conduct an illegal lottery, and the company faces ten counts of the same charge, the courts confirmed.
If convicted on all charges, Portelli could face a maximum penalty of $190,000. The case is scheduled for its first mention on January 15 in the South Australian Magistrates Court.
Portelli has an estimated net worth of over $1 billion, and made much of his fortune through LMCT+, a subscription-based lottery.
Portelli spent big money throwing a lavish party at his multi-million dollar penthouse in Melbourne’s financial district on Thursday night, just hours after he faced charges.
Adrián Portelli has been accused of carrying out/helping to carry out an illegal lottery
Thousands of people queued for the chance to get a share of Portelli’s Coles cash giveaway.
No expense was spared and entertainment was provided by go-go dancers and famous Australian DJ Havana Brown.
The star-studded guest list included actress Nicky Whelan and Canadian-American YouTubers The Nelk, who were among the revelers who shared images on social media.
He also boasted that his businesses saw a huge increase in sales following the charges.
“Sales increased last night starting at 6 pm in all companies,” he wrote on social media, appearing to thank the media for the free publicity.
He has been accused by anti-gambling advocates of taking advantage of low-income Australians who pay up to $100 a month for lottery draws.
He also attacked the South African government and offered a new “gift.”
“It’s okay, we still love you,” she captioned a selfie with her baby.
‘Your gaming commissioner won’t let you win major, life-changing prizes, so I’ve decided to offer exclusive daily $1,000 cash giveaways for you.
Gambling Reform Alliance chief advocate Tim Costello told Daily Mail Australia he believed LMCT+ was a gambling business.
“What is actually a gambling product that exploits a loophole is deplorable, and I believe that loophole should be closed,” Mr Costello said.
‘The always signature feature of gambling in Australia is that it comes from the poorest postcodes and enriches those who are already enormously rich.
“It is a transfer from the poorest to the richest, taking advantage of hopes, fears and poverty.”
“Australia has the biggest gambling losses in the world because we have the laxest policies in the world, and this is an example of that.”
Portelli organized a lavish party hours after being accused.
Tim Costello believes Portelli’s LMCT+ company is a gambling business
Former South Australian senator Nick Xenophon, who campaigned against pokies, was unimpressed with Portelli’s business practices.
“This is not what trade promotion licenses were intended to be,” Mr. Xenophon continued.
‘This looks like a lottery disguised as commercial promotion, and if it is proven to be a loophole, action needs to be taken.
“It needs to be investigated thoroughly.”
Asked if it would consider revoking LMCT+’s licence, a NSW Fair Trading spokesperson said: “this matter is currently being reviewed by interstate regulators.” NSW Fair Trading is not currently investigating LMCT+, although it carried out two separate investigations into the company in 2022 and 2023.
The Victorian Casino and Gaming Control Commission also investigated complaints in 2023, none of which resulted in findings against the company, a spokesperson for the commission said.
Meanwhile, the ongoing investigation by South Australian Business and Consumer Services has resulted in prosecution beginning in that state’s magistrates court.
A spokesperson for LMCT+ told Daily Mail Australia that the company is a “member rewards service that proudly generates millions of dollars for local businesses and creates savings for Australian families.”
Portelli and his son and Lamborghini
Former South Australian Senator Nick Xenophon
“The company also contributes to positive community initiatives through philanthropic investments,” the spokesperson said.
‘These results are particularly important during a cost of living crisis. Portelli and LMCT+ are very aware of their social license and take their legal and regulatory obligations seriously.
‘To this end, the company conducts itself in accordance with all required regulatory approvals and partners with the government to significantly contribute to economic and social projects.
“LMCT+ looks forward to generating more value for its partners and members over the Christmas holiday period.”
Mr Portelli’s lavish lifestyle, which includes a collection of luxury cars and multi-million dollar properties across Australia, is a subject of fascination for his fans.
He made headlines on Tuesday for giving away $150,000 worth of Coles vouchers to 1,000 Sydneysiders, many of whom waited in queues for hours in 33C heat.
Portelli lives a luxurious life.
Portelli organized a lavish party with go-gos
The desperation of some attendees highlighted a national cost-of-living crisis.
Portelli arrived in Sydney on his private jet for the event and was flanked by security guards as he posed for photographs with delighted voucher holders.
“It’s fantastic to be able to offer help to families before Christmas,” he told Daily Mail Australia.
‘Why not? I can help with people, so I can also spend money.
He also surprised viewers earlier this month when he purchased all five Phillip Island properties on The Block for a staggering $15.03 million.
Portelli’s net worth has been valued at over $1 billion by the Australian Financial Review, taking into account his collection of properties and luxury cars, as well as the paper value of LMCT+.
The businessman ranked seventh on the Financial Review’s young rich list this year.