Megaupload assembles worldwide criminal defense

From CNET News.com: The FBI has begun extradition proceedings in New Zealand to bring Kim Dotcom, aka Kim Schmitz, to the United States to face charges of racketeering, money laundering, and Internet piracy.

DotCom and three associates are in custody and are being held without bail until Monday, when a new hearing is scheduled. Three other alleged accomplices are still at large. During a hearing yesterday, DotCom told the court he didn't object to allowing photographers in the courtroom. He said: "We have nothing to hide."

The U.S. Justice Department has accused DotCom, 37, along with six other people, of operating a huge criminal enterprise as part of his cyberlocker service Megaupload, which over the past several years has emerged as one of the most popular destinations for online video. Federal officials say DotCom and his alleged accomplices pocketed millions of dollars in loot and cost the film industry more than $600 million in damages.

Megaupload's site has been shut down and after the arrests were announced, an online group known as Anonymous launched denial-of-service attacks on a number of music and film industry sites as well as the Web site of the Justice Department.

This story is shaping up to be one of the most sensational copyright cases of all time. We have hackers staging online protests at the doorstep of U.S. law enforcement. We have Kim DotCom, a former illegal street racer, hacker, and convicted felon who operates one of the most popular video sites on the Web and who lives in a $30 million mansion in New Zealand.

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