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  • Dec 27, 2014
  • Updated: 10:02am

Kim Dotcom

Kim Dotcom is the founder of Megaupload, a now-defunct file-sharing online service that was registered in Hong Kong. The German citizen also has residency in New Zealand and Hong Kong. In January 2012, Dotcom was indicted in the US and accused of racketeering by facilitating massive copyright fraud. He was arrested in Coatesville, Auckland, New Zealand, during an armed raid and is fighting extradition to the US.

NewsHong Kong

Internet guru Kim Dotcom plans to sue Hong Kong government

Kim Dotcom says raids on his premises in Hong Kong were illegal and forced his firm to close

PUBLISHED : Sunday, 24 March, 2013, 12:00am
UPDATED : Sunday, 24 March, 2013, 5:40am

Former Hong Kong resident and flamboyant founder of the now-defunct file-sharing site Megaupload, Kim Dotcom, says he plans to sue the Hong Kong government for the role it played in his company's demise.

Dotcom, who legally changed his name from Kim Schmitz in 2005, is currently in a legal battle with the United States, which wants to extradite him from New Zealand to face charges of mass copyright infringement, racketeering and money laundering.

He, along with six other co-defendants, has been accused of making US$175 million in criminal proceeds through the site and costing copyright owners more than US$500 million by offering pirated copies of movies, television shows and other content.

In January 2011, his home and the Megaupload office in Hong Kong were raided by 100 customs officers working with the FBI and his assets were frozen.

Dotcom claims Megaupload was protected by the Digital Millennium Copyright Act that provides a safe harbour for sites so they cannot be held responsible for copyright-infringing material as long as the site acts quickly to block or take the content down.

The raids, along with one in New Zealand where Dotcom and three business partners were arrested, meant plans to float the firm in Hong Kong were dumped.

"We will take the Hong Kong government to court for the destruction of our business because they acted for the US government when shutting down our business and freezing all our bank accounts," said the 39-year-old, who lived in the city for eight years from 2003. "We were in the process of preparing a listing on the Hong Kong stock exchange and the valuation of our company was over US$2 billion. Fortunately, the US government will have to indemnify Hong Kong for any damages awarded to us."

The Hong Kong raid was carried out by officers from the Intellectual Property Investigation Bureau, the Financial Investigation Group, and the Anti-Internet Piracy and Computer Analysis and Response teams and in conjunction with a dramatic raid in New Zealand where Dotcom was living at the time.

Customs officials were first approached in late-2010 by the FBI to help them with the case against Megaupload.

Dotcom said his legal team was releasing a white paper about the case later this month.

A spokeswoman for the Customs Department would not comment on the case and would not reveal what had happened to the seized goods and money or if it was still helping the FBI.

In September, New Zealand Prime Minister John Key apologised to Dotcom after it was revealed government spies illegally monitored him as residents are protected from such action.


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This article is now closed to comments

The raids were illegal and I'm happy to see penalties for anyone who aids the corrupt US gov in illegal actions. This disgusting shut down of Megaupload didn't just affect Dotcom and his family; it affected all of the Megaupload employees and hundred of thousands of people who were using Megaupload to legitimately store important files and precious data.
hard times !
yeah, the nastiest hacker (who is also a poor reader of this internet Morning Post) who continuously attacked an outspoken writer here in the Comment column should be condemned and damned by all righteous people in the territoy.He dare say that the writer's servers (at Nevigator) will delete his/her e-mail account if he/she doesn't check his/her e-mail account ( to be found on a link he provided in his poisonous e-mail mailed in the name of Deigo Alberto ...( ...edu.co) How funny and idiotic this nasty guy is by using the greeting: Dear Nevigator.com to address a customer/client.How idiotic this hacker (the worst in the world maybe) is ! His soul and body will be burnt to ashes in the hell forever and ever, I think. Hurray ! His hacking act ha failed the fifth time ! Hackers should be hacked to pieces and let the wild dogs tasted their flesh ---filty though. Right ?
eric glass's comments below are correct. pflim040 is rabid, no idea what he's talking about.
hard times !
hacking in Hong Kong is absolutely illegal. Yet a nasty guy again and again tries to defunction an outspoken writer here's computer's operation by disguising as NEVIGATOR ( to ask for the writer's username and password so as to make him/her cannot send or receive any e-mails); then he pretends to be the company E-mails Master NEVIGATOR and persuades the writer to click a certian button --to spread virus to his/her computer twice but all these efforts failed miserably.On 20th March, he even pretended to be HSBC (Hong Kong Bank) trying to trick the writer to open an attached file (again to spread virus) but his trick failed again.Now this morning, this nastiest guy in Hong Kong pretends to be so-called 'The Management Team Nevigator.Com ---warning the writer that his/her e-mail account storage has reached its limit and should click into a certain link (listed) so as to avoid the problem of server stopping function--cannot send or receive any e-mails..How idiotic such a crook / ugliest hacker is ! May God bless his/her soul and wish him meet Karl Marx the sooner the better ! All Comment contributors should be careful once your e-mail address is disclosed ! Okay ?
I hope he wins... the HK gov't deserve to be slap for this one.....


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