Acting on a lead from the entertainment industry, the U.S. Government shut down Megaupload early 2012.

Since then the case hasn’t progressed much. Kim Dotcom’s extradition hearing has been delayed until 2015 and most of the recent court proceedings dealt with how the seized assets should be handled.

Two months ago the Department of Justice launched a separate civil action in which it asked the court for a forfeiture of the bank accounts, cars and other seized possessions of the Megaupload defendants, claiming they were obtained through copyright and money laundering crimes.

Megaupload has now responded to these allegations at the federal court in Virginia, with a motion to dismiss (pdf) the complaint. According to Megaupload’s lawyers the Department of Justice is making up crimes that don’t exist.

One of the main arguments is that the Government accuses the Megaupload defendants of secondary criminal copyright infringement, a crime that doesn’t exist under common law.

“The crimes for which the Government seeks to punish the Megaupload defendants do not exist. Although there is no such crime as secondary criminal copyright infringement, that is the crime on which the Government’s Superseding Indictment and instant Complaint are predicated,” Megaupload’s lawyers write.

“That is the nonexistent crime for which Megaupload was destroyed and all of its innocent users were denied their rightful property. And that is the nonexistent crime for which the Government would now strip the criminal defendants, and their families, of all their assets,” they add.

In addition, Megaupload mentions another argument why the Court doesn’t have jurisdiction over the case. It’s a requirement that the infringements took place in the United States, but the DOJ’s compliant fails to back that up.

“Tellingly, the Complaint and the Superseding Indictment together fail to identify a single instance in which an act of infringement — particularly an unauthorized upload or download — occurred entirely within the United States,” the motion reads.

This is true for the alleged infringements committed by Megaupload users and also for the 50 Cent track Kim Dotcom allegedly distributed himself. There is no mention or proof that this infringement took place in the United States.

“Although the Complaint alleges that Kim Dotcom personally distributed a link to a copy of a copyrighted work on, and has received at least one infringing copy of a copyrighted work from, the Mega Sites, the Complaint never alleges where that occurred,” the lawyers argue.

Based on these and several other arguments Megaupload’s legal team has asked the Court to dismiss the DOJ’s complaint. At the very least, they want the case to be put on hold until the criminal case is completed.

TorrentFreak spoke with Megaupload lawyer Ira Rothken who explains that this is the first time that they called out the Government for prosecuting “nonexistent” crimes.

“For the first time in the case, with this motion to dismiss, we are attacking the merits of the DOJ’s core copyright claims. We are optimistic that the Court will find that there is no such thing as criminal secondary copyright infringement,” Rothken tells TorrentFreak.

The Government’s efforts are no surprise to Megaupload’s legal team. The civil attempt to obtain possession of the assets fits a pattern of meritless claims according to Rothken.

“The DOJ is trying to win the Megaupload case on procedure rather than the merits,” Rothken told us.

“We are hopeful the US Court will finally decide the threshold copyright issues in Kim Dotcom’s and Megaupload’s favor and bring this global legal matter to a rapid end.”

Source: TorrentFreak, for the latest info on copyright, file-sharing and anonymous VPN services.

Early September news broke of another significant anti-piracy action carried out by City of London Police’s Intellectual Property Crime Unit.

After traveling 200 miles from their London base, PIPCU officers were assisted by Greater Manchester Police in raid carried out on a residential address in the Cheetham Hill area.

Their target was Zain Parvez, a 27-year-old whom police believed was the operator of a series of websites (CoolSport.se, CoolSport.tv and KiwiSportz.tv) which allegedly offered unauthorized access to subscription-only TV services, including matches from the Premier League.

Following Parvez’s arrest, police used the word “industrial” to describe the scale of the operation, having seized 12 servers said to have illegally streamed sports globally. The picture below was released to the press to underline the gravity of the situation.

Instead of releasing him on bail, Parvez was kept in custody under suspicion of offenses under the Copyright Design and Patents Act 1988, engaging in money laundering, conspiracy to defraud and possessing or controlling an article for use in fraud.

But now, six weeks later, a surprising development appears to have undermined the case. After an appearance before magistrates the case went to Manchester Crown Court, at which point it was dropped by the Crown Prosecution Service (CPS).

“Following consultations with the CPS, a decision has been made to cease the initial charges put before the court in relation to a man arrested by the Police Intellectual Property Crime Unit on September 1 in Manchester,” a PIPCU spokesperson said.

PIPCU says the investigation into Parvez’s alleged operation is still ongoing but with all the main charges now dropped, it’s unclear where the case can now go.

Parvez’s detention marked the third occasion an alleged streaming site operator had been arrested in the UK, but to date there has been no news of a successful prosecution.

The domains previously operated by Parvez are now all redirecting to a suspicious-looking site promoting Alibaba share deals, not City of London Police’s ‘seized site’ banner as previously might have been expected.

TorrentFreak contacted Parvez for comment and will update this article with any response.

Source: TorrentFreak, for the latest info on copyright, file-sharing and anonymous VPN services.

This week we have three newcomers in our chart.

22 Jump Street is the most downloaded movie.

The data for our weekly download chart is estimated by TorrentFreak, and is for informational and educational reference only. All the movies in the list are BD/DVDrips unless stated otherwise.

RSS feed for the weekly movie download chart.

Ranking	(last week)	Movie	IMDb Rating / Trailer
torrentfreak.com
1	(4)	22 Jump Street	7.6 / trailer
2	(1)	Transformers: Age of Extinction	6.1 / trailer
3	(…)	Stretch	6.8 / trailer
4	(2)	Sex Tape	5.2 / trailer
5	(…)	The Purge: Anarchy	6.6 / trailer
6	(3)	Edge Of Tomorrow	8.1 / trailer
7	(5)	Lucy	6.6 / trailer
8	(…)	Earth to Echo	5.8 / trailer
9	(7)	X-Men: Days of Future Past	8.4 / trailer
10	(8)	Good People	5.4 / trailer

Source: TorrentFreak, for the latest info on copyright, file-sharing and anonymous VPN services.

When the first Twin Peaks episode was broadcasted back in 1990, the World Wide Web didn’t yet exist.

But this week, nearly 25 years later, tens of thousands of people used it to browse to their favorite torrent sites and catch up with the show.

On Monday director David Lynch announced the comeback of the cult show which kept millions of people glued to their TV screens in the early nineties. The show, that some consider to be the beginning of today’s TV series boom, will start a new season in 2016.

The Twin Peaks revival has made headlines all over the world and many millions of people are anxious to see how the mystery continues.

This renewed attention also increased interest in the first two seasons, both from old fans and the younger generation who never saw how it all started. This was also noticeable on various torrent sites, where the numbers of Twin Peaks downloads skyrocketed over the past few days.

The interest in Twin Peaks never faded away completely. But instead of a few hundred daily downloads, the various season packs are now being downloaded more than 10,000 times a day.

Counting all the different release it’s estimated that Twin Peaks torrents were downloaded 75,000 times over the last week. This includes mostly full seasons, or complete packs of both seasons.

A few Twin Peaks downloads

This statistic pales in comparison to recent TV-shows, which can get well over a million downloads per week, but for a series from the early nineties it’s pretty impressive.

Most pirates seem to prefer the lower quality versions which are roughly 1.4 gigabyte for an entire season. Those pirates who prefer better quality don’t have to miss out though. There’s also a 79.99 gigabyte copy of “Twin Peaks: The Entire Mystery.”

Depending on the release, the number of active sharers for each of these files increased up to tenfold. This surge is slowly fading off as time goes by but it’s certainly a sign that there’s plenty of interest among pirates too.

Whether this will eventually help or hurt the Twin Peaks revival will remain an unsolved puzzle for now.

Source: TorrentFreak, for the latest info on copyright, file-sharing and anonymous VPN services.

The hacking trial of Gottfrid Svartholm and his alleged 21-year-old Danish accomplice concluded this week in Copenhagen, Denmark. Gottfrid is most well known as one of the founders of The Pirate Bay, but his co-defendant’s identity is still being kept out of the media.

The sessions this week, on October 7 and 10, were used for summing up by the prosecution and defense. Danish language publication DR.dk, which has provided good coverage of the whole trial, reports that deputy prosecutor Anders Riisager used an analogy to describe their position on Gottfrid.

Prosecution: Hands in the cookie jar

“If there is a cookie jar on the table with the lid removed, and your son is sitting on the sofa with cookie crumbs on his mouth, it is only reasonable to assume that it is he who has had his paws in the cookie jar,” he said.

“This, even though he claims it is four of his friends who have put the cookies into his mouth. And especially when the son will not reveal who his friends are, or how it happened.”

Riisager was referring to the evidence presented by the prosecution that Gottfrid and his co-defendant were the people behind hacker attacks on IT company CSC which began in 2012.

The Swede insists that while the attack may have been carried out from his computer, the computer itself was used remotely by other individuals, any of whom could have carried out the attacks. Leads and names provided by Gottfrid apparently led the investigation nowhere useful.

Remote access unlikely

That third-parties accessed Gottfrid’s computer without his knowledge is a notion rejected by the prosecution. Noting that the Pirate Bay founder is a computer genius, senior prosecutor Maria Cingari said that maintaining secret access to his machine over extended periods would not have been possible.

“It is not likely that others have used [Gottfrid's] computer to hack CSC without him discovering something. At the same time the hack occurred over such a long time that remote control is unlikely,” she said.

And, Cingari noted, it was no coincidence that chatlogs found on Gottfrid’s computer related to so-called “zero-day” vulnerabilities and the type of computer systems used by CSC.

Dane and Swede working together

In respect of Gottfrid’s co-defendant, the prosecution said that the 21-year-old Dane knew that when he was speaking online with a user known as My Evil Twin (allegedly Gottfrid), the plan was a hacker attack on CSC.

Supporting their allegations of collusion, the prosecution noted that the Dane had been living in Cambodia when the attacks on CSC began and while a hacker attack against Logica, a crime for which Gottfrid was previously sentenced, was also underway. The Dane spent time in a café situated directly under Gottfrid’s apartment, the prosecution said.

Why not hand over the encryption keys?

When police raided the Dane they obtained a laptop, the contents of which still remain a secret due to the presence of heavy encryption. The police found a hollowed-out chess piece containing the computer’s SDcard key, but that didn’t help them gain access. Despite several requests, the 21-year-old has refused to provide keys to unlock the data on the Qubes OS device, arguing there is nothing on there of significance. According to the prosecution, this is a sign of guilt.

“It is very striking that one chooses to sit in prison for a year and more, instead of just helping the police with access to the laptop so they can see that it contains nothing,” senior prosecutor Maria Cingari said.

Cingari also pointed the finger at the Dane for focusing Gottfrid’s attention on CSC.

“You can see that [the Dane] has very much helped [Gottfrid] with obtaining access to CSC’s mainframe. It is not even clear that he would have set his sights on CSC, if it had not been for [the Dane],” she said.

Defense: No objectivity

On Friday, defense lawyer Luise Høj began her closing arguments with fierce criticism of a Danish prosecution that uncritically accepted evidence provided by Swedish police and failed to conduct an objective inquiry.

“They took a plane to Stockholm and were given some material. It was placed in a bag and they took the plane back home. From there they went to CSC and asked them to look for clues. This shows a lack of an independent approach to the evidence,” she said.

Furthermore, the mere fact that CSC had been investigating itself under direction of the police was also problematic.

“The victim should not investigate itself. CSC is at risk of being fired as the state’s IT provider,” Høj noted.

Technical doubt

Computer technicians presented by both sides, including famous security expert Jacob Appelbaum, failed to agree on whether remote access had been a possibility, but this in itself should sway the court to acquit, Høj said.

“It must be really difficult for the court to decide whether the computer was controlled remotely or not, when even engineers disagree on what has happened,” she noted.

Why not take time to investigate properly?

Høj also took aim at the police who she said had failed to properly investigate the people Gottfrid had previously indicated might be responsible for the hacker attacks.

“My client has in good faith attempted to come up with some suggestions as to how his computer was remotely controlled. Of course he did not provide a complete explanation of how it happened, as he did not know what had happened and he has not had the opportunity to examine his computer,” she said.

Additionally, clues that could’ve led somewhere were overlooked, the defense lawyer argued. For instance, an IP address found in CSC’s logs was traced back to a famous Swedish hacker known as ‘MG’.

“The investigation was not objective. I do not understand why it’s not possible to investigate clues that don’t take much effort to be investigated,” Høj said. “The willingness to investigate clues that do not speak in favor of the police case has been minimal.”

A decision in the case is expected at the end of the month. If found guilty, Gottfrid faces up to four years in jail.

Source: TorrentFreak, for the latest info on copyright, file-sharing and anonymous VPN services.