Wednesday, 1 February 2012

TorrentFreak Email Update

TorrentFreak Email Update


The Pirate Bay Moves to .SE Domain To Prevent Domain Seizure

Posted: 01 Feb 2012 03:56 AM PST

tpbEarlier today Sweden's Supreme Court announced its decision not to grant leave to appeal in the long-running Pirate Bay criminal trial.

This means that the prison sentences and fines against the defendants are now final. The Pirate Bay website itself, however, wasn’t part of the trial and will remain operational as normal. That is, unless the US Government chooses to intervene.

In 2010 it was reported that both The Pirate Bay and MegaUpload barely escaped a domain seizure. Although it wasn’t entirely clear at the time, one of the assumptions was that in the case of The Pirate Bay the pending trial against several people involved with the site acted as a roadblock.

Today this last barrier was removed. And with MegaUpload also out of the way, the largest torrent site on the Internet is now a prime target for a domain seizure.

The people running The Pirate Bay are aware of this risk and quickly redirected the site to a Swedish .se domain, outside the reach of US authorities. A Pirate Bay insider confirmed this morning that this was done “just in case ICE has been waiting for the court case to be over.”

Along with the domain change The Pirate Bay team delivered a defiant message.

"2012 is the year of the storm. The Pirate Bay will reach an age of 9 years. Experiencing raids, espionage and death threats, we're still here. We've been through hell and back and it has made us tougher than ever," they begin.

"Our 3 friends and blood brothers have been sentenced to prison. This might sound worse than it is. Since no one of them no longer lives in Sweden, they won't go to jail. They are as free today as they were yesterday," they note, adding:

"In this year of the storm, the winners will build windmills and the losers will raise shelters. So flex your muscles, fellow pirates, and give power to us all! Build more sites! More nets! More protocols! Scream louder than ever and take it to the next level!"

Although it’s clear that The Pirate Bay lost a battle today, the above statements signal that the war is far from over.

Source: The Pirate Bay Moves to .SE Domain To Prevent Domain Seizure

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Pirate Bay Founders’ Prison Sentences Final, Supreme Court Appeal Rejected

Posted: 01 Feb 2012 01:24 AM PST

November 2010, the Swedish Court of Appeal found three people behind The Pirate Bay guilty of criminal copyright infringement offenses.

Although Fredrik Neij, Peter Sunde and Carl Lundström all had their prison sentences decreased from the levels ordered at their original 2009 trial, they were ordered to pay increased damages amounting to millions of dollars to the entertainment company plaintiffs.

Hoping to overturn the ruling, the three filed for a hearing of their case at the Supreme Court. Today this request was denied, meaning that the sentences as determined by the Court of Appeal are now final.

Peter Sunde, also known as Brokep, now awaits 8 months in prison. Fredrik Neij, also known as TiAMO, faces 10 months. Businessman Carl Lundström has the lightest sentence of 4 months. All will have to pay their share of a combined 46 million kronor ($6.8 million) in damages.

A fourth defendant, Pirate Bay co-founder Gottfrid Svartholm, was absent from the appeal hearings due to medical circumstances. Having also failed to appear at a subsequent hearing, it was announced last year that the District Court ruling of 2009 against him of 1 year in prison and a share of the damages would be made permanent.

“The verdict is absurd,” said Carl Lundström’s lawyer Per E Samuelsson. “I am disappointed that the court is so uninterested in dissecting and analyzing the legal twists and turns of one of the world’s most high-profile legal cases of all time.”

One of the defendants informs TorrentFreak that they will now appeal at the European Court of Justice. But this, however, won’t prevent the sentences from being executed in Sweden.

Today’s news doesn’t necessarily means that the defendants will have to go to prison. It is common in the Swedish justice system to deduct 12 months from any prison sentence on cases over 5 years old. Since the case in question meets that criteria the Pirate Bay defendants would qualify, but the decision lies with the court.

Even if denied, the Pirate Bay founders still have a few months of freedom before they are required to serve their prison sentences.

Source: Pirate Bay Founders’ Prison Sentences Final, Supreme Court Appeal Rejected

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Cyberlocker Burden of Proof Should Be Reversed, Anti-Piracy Group Says

Posted: 31 Jan 2012 01:54 PM PST

As previously reported, the Megaupload shutdown sent shockwaves right around the world and prompted a huge rethink by many cyberlocker file-hosting services.

The Megaupload indictment focused on several issues including alleged payments of cash rewards to known uploaders of infringing material. This prompted some rival services to cancel their affiliate/reward programs altogether and even end 3rd party downloads (Note: Fileserve have since re-enabled sharing).

Last week, TorrentFreak noted that traffic to many rival sites had increased following Megaupload’s demise – including sites like RapidShare that have no rewards program.

Today, however, German anti-piracy outfit GVU said that sites that have removed their rewards programs are now on a downward trend, while those that have maintained them are doing better than ever before.

GVU, which carried out the investigation preceding the record-setting raids on Kino.to last year, note that some linking sites are now removing links to sites that have no rewards programs and replacing them with those that do. The existence of rewards, the group suggests, means that more content is posted, ensuring traffic – and revenue – for both the linking sites and cyberlockers.

While it is fair to say that in some instances the existence of rewards can encourage infringement, GVU are now using this background to call for a review of cyberlocker and hosting provider liability, and are calling for a “reverse burden of proof” to be applied.

“In Germany, Service Providers are (at first) not liable for copyright infringements in content which is uploaded by third persons,” Otto Freiherr Grote of the Wilde Beuger & Solmecke law firm told TorrentFreak this morning.

“But the GVU now demands a reversal of this principle, at least for those filehosters which reward uploaders for uploading very popular files,” Grote adds.

GVU Director Dr. Matthias Leonardy says that while there is authorized content being stored and delivered by hosting services, much of the mass volume consists of unauthorized movies, TV shows and games, and it is this content that draws the bulk of the traffic and generates the revenue.

“Therefore, a file hosting provider must be aware that it promotes this through commission payments to those uploading pirated copies,” Leonardy notes.

On this basis, what Leonardy wants is a review of liability for those file-hosting services offering rewards programs.

It should not be the responsibility of rightsholders and authorities to show that such programs are being abused by infringers [such as is being claimed in the Megaupload indictment], Leornardy says, but the opposite – cyberlockers should be forced to prove that their businesses aren’t based on piracy in order to avoid liability. How this can be achieved remains to be seen.

The German legal system is no stranger to these apparent reverse burdens of proof when it comes to file-sharing cases. Domestic Internet users are responsible for infringements that happened via their accounts, whether they carried them out or not.

Source: Cyberlocker Burden of Proof Should Be Reversed, Anti-Piracy Group Says

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Authorities Shut Down Ukraine’s Largest File-Sharing Site Ex.ua

Posted: 31 Jan 2012 11:51 AM PST

exuaWith millions of users, Ex.ua was one of the most visited sites in the Ukraine.

Founded in 2009, the file-hosting site allowed users to share files up to 50 gigabytes. Unlike similar services, Ex.ua was completely free to use. The site made money from advertisements and didn’t offer a paid subscription.

Because the site was widely used to share copyrighted files, several international companies including Microsoft, Graphisoft and Adobe filed complaints against the service. After a six month criminal investigation, this resulted in the shutdown of Ex.ua today.

A spokesperson for the authorities confirmed that the service was targeted and said that 200 servers were taken, holding a massive 6,000 terabytes of data.

In addition, sixteen employees were taken in for questioning. At the time of writing it is unclear how many arrests have been made, if any. The authorities did confirm that the site was run by a Latvian citizen.

While Ex.ua has some similarities to MegaUpload and other file-hosting sites, it was also crucially different in several aspects. Ex.ua allowed users to search for files and browse categories such as “MP3″ and “Video,” which is quite uncommon for a cyberlocker.

In 2010, the RIAA reported Ex.ua to the Office of the US Trade Representative, branding it a “pirate haven.” Among other things the RIAA highlighted that users of the site could not only upload, but also search for files on the site.

“This is the largest service in Ukraine and the vast majority of the Internet users in Ukraine use the site to download music and film content. None of the content made available on the site has been authorised by the copyright owners and the site operators are unresponsive to takedown notices as a result there are thousands of music titles available on the site,” the music group wrote at the time.

If found guilty, the operators of the site face up to five years in prison.

Breaking story.


Ex.ua office

ex

Source: Authorities Shut Down Ukraine’s Largest File-Sharing Site Ex.ua

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Justice Department Backs RIAA Against Pirating Student

Posted: 31 Jan 2012 06:26 AM PST

riaaMore than half a decade ago, the RIAA sued tens of thousands of alleged file-sharers. While the music group settled with the majority for a few thousand dollars each, student Joel Tenenbaum chose to put up a fight.

As of today, the case is still ongoing.

In 2009, a jury found Tenenbaum guilty of "willful infringement" and awarded damages mounting to $675,000. A year later this amount was reduced by 90% when Judge Nancy Gertner ruled that the penalty was excessive and unconstitutional. In 2011 this decision that was reversed after a new hearing at the Court of Appeals.

In yet another appeal, Tenenbaum’s legal team, headed by Harvard law professor Charles Nesson, is asking the court to reduce the $22,500 fine per song to the minimum statutory damages of $750 per song. This request is made on due process grounds.

As expected, the RIAA doesn’t agree with the request and presented its arguments to the court last Friday. But they were not alone – on the same day the Department of Justice also filed a brief with the court, backing the RIAA’s vision on the case.

In a 26-page filing the Department of Justice makes the argument that previous cases, as cited by Tenenbaum’s legal team, do not apply in this instance. It concludes that the due process grounds are not relevant yet and that the damages therefore shouldn’t be reduced before the case continues.

The due process question should only be answered when the court decides that the jury's award of $22,500 per song is not excessive, according to the Departement of Justice.

“The only circumstance in which the Court can reach Defendant's due process challenge at this time is if the Court first determines the jury's statutory damages award is not excessive under the common law remittitur standard. The United States, therefore, does not believe it is necessary at this juncture to address the merits of Defendant's constitutional claim,” the DoJ writes.

Although this is not the first time the Justice Department has become involved in an RIAA civil case, it remains unclear why they chose to intervene this time. What we do know is that the authorities are very up-to-date with the legal proceedings, as five former RIAA lawyers are now employed by the Department of Justice.

Whether these connections between the Justice Department and the RIAA have increased the likelihood of the authorities getting involved is hard to say. However, it is clear that Tenenbaum and his legal team are up against some serious resistance, and that the US authorities don’t want the student to get off that easily..

To be continued, indefinitely.

Source: Justice Department Backs RIAA Against Pirating Student

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