U.S. judge finds for MegaUpload, orders DOJ to cooperate on user files | The Raw Story

A judge in Alexandria, Virginia ruled Friday in favor of attorneys for the cyberlocker website MegaUpload, ordering the U.S. Department of Justice (DOJ) to work with the site’s operators to return personal files to more than 60 million of the site’s users.

MegaUplaod founder Kim Dotcom, an eccentric New Zealand millionaire, stands accused in the U.S. of running the largest pirate media operation in history, and is currently fighting a U.S. extradition request in his own country following a January SWAT raid on his estate. MegaUpload provided blind file hosting to its users, enabling them to upload and share anything, but it also gave content creators the ability to report and delete links to files that infringed upon copyrights.

U.S. District Judge Liam O’Grady agreed with MegaUpload attorney Ira Rothken in a hearing Friday, and ordered the DOJ to work with MegaUpload and its users to reach an amicable solution to the quandary of legitimate, non-infringing files being held in legal limbo. The question of what will happen to the files arose after an Ohio-based entrepreneur teamed up with the Electronic Frontier Foundation (EFF) to sue for access to his business files.

Prosecutors argued Friday that the DOJ should simply order the hosting company to delete MegaUpload’s user files, as they’ve already obtained a large sample of the files to be used as evidence against MegaUpload, which will be turned over to defense attorneys amid the evidence discovery process.

The site had more than 150 million users at the time of the New Zealand raid. MegaUpload’s managers have since said that its users included government workers and even congressional staffers, along with soldiers overseas who used the service to share multimedia with their families in the U.S. At least six movie studios have argued that MegaUpload was growing an illegal operation that, at its core, was just designed to facilitate piracy.

Judge O’Grady’s ruling Friday is another in a series of minor victories for MegaUpload and Dotcom, who recently saw a judge in New Zealand chastise police for raiding his home based upon a bogus warrant. Officials tried to file for the correct warrant after the fact, making it retroactive. The judge said she may ultimately order that all of Dotcom’s assets be returned to him, which would provide a significant boost to his legal defense. Security footage of that raid has sincemysteriously disappeared while in police custody.

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Megaupload boss: Site popular among US government users, may be tempted to name names in Justice Dept and Senate

The boss of the recently shut-down Megaupload file-sharing site claims that his records show plenty of US government users, including members of the Senate and the Department of Justice.

“Guess what – we found a large number of Mega accounts from US Government officials including the Department of Justice and the US Senate,” Kim Dotcom (formerly Schmitz), the portly potentate of Megaupload, told the Torrentfreak blog. “I hope we will soon have permission to give them and the rest of our users access to their files.”

No doubt government officials will claim that these accounts are for “research processes”, or owned by a few “bad apples”, but it does seem that Dotcom is willing to name names when his case comes the trial. Megaupload was one of the largest sites of its type, and the fallout could be very interesting if lists of users are made public.

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I hope he does name names, though, it’t not like these jack asses ever get into any real trouble for anything they do anymore.

The real reason MegaUpload was shut down?

In December of 2011, it was reported by Digital Music News that the creators of MegaUpload were rolling out plans for a new cloud based music service that had the potential to change the music industry.

Called Megabox, it would have created an alternative to record labels as a means for artists to sell their music on-line, cut out the middle man and allow artists to keep 90 percent of their earnings.

They were also going to have a program called Megakey that allowed artists to offer their music free and still generate revenue.

This came just a week or so after Universal filed to have a promotional video by Megaupload removed from youtube that featured A list artists, that Universal had absolutely no claim to.

Was Megaupload taken down because it was a threat to an existing business model, that makes a lot of people a lot of money?

It’s starting to look that way.

Also, for your reading enjoyment, here is an interview with the founder of Megaupload concerning the youtube video take down, and his previous problems with Universal.

Sources:

Mystery surrounds Universal’s takedown of Megaupload YouTube video on C|NET

MegaUpload Is Now Launching a Music Service Called MegaBox… on Digital Music News

Post on google plus by Shauna Myers “Why was MegaUpload really shut down?”