The FBI has busted the alleged operators of Internet locker service Megaupload, which had become one of the most popular video destinations on the Web, according to a statement from the U.S. Justice Department and FBI.
Seven people have been named in an indictment and four suspects have been taken into custody, according to the statement today. They have been charged in Virginia with crimes related to online piracy, including racketeering conspiracy, conspiring to commit copyright infringement, and conspiring to commit money laundering.
The suspects face a maximum penalty of 20 years in prison, the government said.
According to the statement, the indictment alleges that Megaupload is led by Kim DotCom, aka Kim Schmitz, a German with a colorful history who was once convicted of a felony but who has repeatedly denied engaging in piracy.
“This action is among the largest criminal copyright cases ever brought by the United States,” the statement said. The action “directly targets the misuse of a public content storage and distribution site to commit and facilitate intellectual property crime.”
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