Kim Dotcom warrants invalid, New Zealand judge rules in MegaUpload case

Kim Dotcom speaks to media after being released on bail at North Shore District Court, Feb. 22, 2012 in Auckland, New Zealand.

/ Getty

This story originally appeared on CBSNews.com's sister site, CNET.com.

(CNET) The U.S. piracy case against MegaUpload founder Kim DotCom appears to have run aground, with a New Zealand court ruling that the search warrants issued in January were invalid.

New Zealand High Court Judge Helen Winkelmann ruled Thursday that the warrants did not adequately describe the offenses alleged, according to a report in the New Zealand Herald. "Indeed they fell well short of that," she said. "They were general warrants, and as such, are invalid.''

She also ruled that it was unlawful for the data confiscated in the raid to have been sent offshore, saying "the release of the cloned hard drives to the FBI for shipping to the United States was contrary to the 16 February direction" [given by the court] "that the items seized were to remain in the custody and control of the Commissioner of Police."

MegaUpload is a cloud-storage locker that DotCom claims was completely legitimate and protected by the Digital Millennium Copyright Act. U.S. officials, who are trying to extradite Dotcom and six associates to face piracy and wire fraud charges, say he encouraged users to store pirated videos, music, software, and other media and then share them with others. He faces up to 20 years in prison if convicted.

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• U.S. skirts one roadblock to Kim Dotcom extradition

DotCom, 38, was arrested in January at the mansion he leases near Auckland, New Zealand, after the

FBI charges MegaUpload operators with piracy crimes

on criminal copyright violations and racketeering. Millions of dollars worth of cash, cars, and other possessions belonging to DotCom were seized during a sensational raid on his estate.

Soon after his arrest, news reports were filled with images of his $30 million mansion and of New Zealand police hauling away his pink Cadillac and Mercedes Benz. The United States said MegaUpload had cost Hollywood studios and other copyright owners $500 million.

Since that January raid, DotCom and some of the other MegaUpload defendants have won a string of favorable court decisions in New Zealand that have led to their release on bail, the return of some of their assets, and a court order that requires the FBI to show the evidence it has against the company. MegaUpload's lawyers are expected to appear in a Virginia federal court on Friday to argue that the charges should be tossed out.

DotCom recently received the support of Apple co-founder

Here's what Woz really thinks about Kim DotCom

and famed former hacker

Kevin Mitnick to Kim DotCom: 'I hope you win'

, who told DotCom, "I hope you win."

CNET's Greg Sandoval contributed to this report.

[rubberrezi]

If the U.S. really wants to do something about piracy why don't they enforce sanctions against China and Russia? You can buy anything you wanted in a pirated version in either country and they all sneer at the FBI.

[yoyoinla]

I'm not sure I understand this.

Members of all levels of the so called "Hollywood Machine", at all levels, from the producers, directors, and actors to the gaffs, editors, stage hands...everyone has to be paid to do what they do. If there is no money from revues..customers who pay to patronize entertainment...there will be no more entertainment.

I'm not sure why everyone thinks that copywrite infringement should be ignored. Copywrites are in place for a reason in the entertainment business..it is akin to plaguerism of a writer.

This is all in my humble opinion. No money, no entertainment.

If there is something I am no understanding about these things, please explain it. I'm sure it is not as simple as I am seeing it.

[knucklecheese]

You're assuming that everyone considers the garbage the Hollywood machine constantly cookie-cutter presses out to be "entertainment". If there were no more Hollywood, a great many of us wouldn't even notice.

However, as a matter of principle and rule of law, pirates should be dealt with quite harshly indeed. It's theft, plain and simple.

[OmegaWolf747]

I hope this shows the copyright enforcers that their will carries no weight with the people. Hollywood and the big content industries can just rot in Hell.

[forumcomments]

and a court order that requires the FBI to show the evidence it has against the company.


Now that's a new idea for the FBI (federal bureau of idiots) show your evidence if you have any.

[WakeUpPeople001]

Watch out!!!!

If you stand too close, he'll eat you!!!

[jklombardi]

Is that a joke about Dotcoms largeness?