Megaupload Founder Hides In Panic Room From Police
On Thursday, the public learned the hard way that the beloved Megaupload, the world’s largest file-sharing website, had been shut down by the FBI. Today the New Zealand police actually went after the men behind this internet phenomenon, who was pulling in tens of millions of dollars every year from online piracy.
The police arrested founder Kim Dotcom and three other employees of Megaupload on U.S. accusations of facilitating millions of illegal file shares including movies, music, and others. Megaupload is said to have cost copyright holders around the world no less than $500 million in lost revenue. The website is also said to have earned Dotcom over $42 million in the year 2010 alone.
Trying to cover their tracks, the Megaupload server was based in Hong Kong, and the staff lived in New Zealand. This kept the U.S. out of their illegal file sharing endeavors. The problem was that some of the content was hosted on leased servers in Virginia, giving the U.S. jurisdiction to act on the matters.
The New Zealand police were given 10 different search warrants in order to check numerous businesses and and homes in the city of Auckland for the internet thieves. When they found Dotcom’s estate, he was not ready to give up his freedom and fortune, “It was definitely not as simple as knocking at the front door,” a detective said.
According to officials who were involved in taking Dotcom captive the man “retreated into the house and activated a number of electronic locking mechanisms,” when they arrived at his home. The CEO eventually made his way into a panic room and was found with sawed-off shotgun.
After he was arrested, police froze around $8.8 million in assets and seized various items, such as luxury cars including an expensive pink Cadillac. Dotcom as well as his fellow three employees were denied bail.
Megaupload’s case is being defended by Washington power attorney Bob Bennett, famously known for defending president Bill Clinton in the Monica Lewinsky scandal.
What do you think about the situation? Was it within the U.S.’s jurisdiction to do what they did? Should the people involved with Megaupload receive further punishment?
