Archive for January, 2012

Megaupload shuts by the Feds

One of the oldest file sharing service I used, megaupload.com has been closed by the Feds. Feds in conjuntion with the prosecutor and cops from several countries has been chasing megaupload for its illegal content, especially pirated movies and money laundering regarding their uploaders reward program.

As of the afternoon of January 19, the site for megaupload.com had not been redirected, modified and requests simply timed out.

BBC news quote that:

The site’s founders have been charged with violating piracy laws.

Federal prosecutors have accused it of costing copyright holders more than $500m (£320m) in lost revenue. The firm says it was diligent in responding to complaints about pirated material.

The news came a day after anti-piracy law protests, but investigators said they were ordered two weeks ago.

The US Justice Department said that Megaupload’s two co-founders Kim Dotcom, formerly known as Kim Schmitz, and Mathias Ortmann were arrested in Auckland, New Zealand along with two other employees of the business at the request of US officials. It added that three other defendants were still at large.

“This action is among the largest criminal copyright cases ever brought by the United States and directly targets the misuse of a public content storage and distribution site to commit and facilitate intellectual property crime,”  posted on its website.

Going after Megaupload, might seem a strange choice. (As an example of its scale, Megaupload controlled 525 servers in Virginia alone and had another 630 in the Netherlands—and many more around the world.) For years, the site has claimed to take down unauthorized content when notified by rightsholders. It has registered a DMCA agent with the US government. It has created an “abuse tool” and given rightsholders access. It has negotiated with companies like Universal Music Group about licensing content.

The MPAA doesn’t have any doubts, though. “By all estimates, Megaupload.com is the largest and most active criminally operated website targeting creative content in the world,” it said in a statement. “This criminal case, more than two years in development, shows that law enforcement can take strong action to protect American intellectual property stolen through sites housed in the United States.”

The filesharing site Megaupload.com has been taken down by the FBI as the Justice Department unsealed an indictment charging seven people associated with the site. The 72-page indictment, handed down by a federal grand jury in Virginia on January 5, charges the seven people, including Megaupload’s founders Kim Dotcom and Mathias Ortman, with conspiracy.

Four of the people named—including Dotcom, Ortmann, Megaupload.com chief marketing officer Finn Batao, and developer Bram van der Kolk—are in custody, arrested in New Zealand today, according to the FBI. The FBI worked with authorities from New Zealand, Hong Kong, the Netherlands, Canada, Germany, the UK and the Phillipines, and in concert with US Immigration and Customs Enforcement on the case.

The indictment charges that the “Mega conspiracy” has for more than five years operated websites that willfully distributed pirated movies, often before their theatrical release, and other illegal copies of copyrighted works, earning the company over $175 million in illegal profits through advertising revenue. Megaupload is also charged with money laundering by paying uploaders through an “uploader reward program,” and paying other companies to host the pirated content.

Additional news source : arstechnica.com

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Screenshot:

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