Post date: Feb 22, 2012 10:46:56 AM
AUCKLAND, NEW ZEALAND (FEBRUARY 22, 2012)(TV3 (NEW ZEALAND) - U.S. crime-fighters failed in a bid to keep alleged Internet pirate Kim Dotcom behind bars on Wednesday (February 22) when a New Zealand court freed him from jail and instead put him under effective house arrest and banned him from using the Internet.
U.S. crime-fighters fail in a bid to keep Megaupload founder Kim Dotcom behind bars when a New Zealand court frees him from jail and instead puts him under effective house arrest, banning him from using the Internet.
The court, in upholding a bail application by the German founder of file-sharing website Megaupload, cast some doubt on the multi-millionaire's purported flight risk pending an extradition hearing scheduled for August.
Judge Nevin Dawson reasoned that bail could be awarded, given that there was no new evidence that Dotcom had undisclosed funds he could use to aid in a flight from justice.
"The facts as relating to flight risk are not now of such concern that there remains just cause to continue to remand Mr Dotcom in custody," he said.
"No new assets or accounts of any significance have been revealed since his arrest," the judge added.
Wearing his usual black T-shirt, trouser and jacket, 38-year-old Dotcom vowed to fight the eventual extradition hearing on U.S. charges of copyright piracy, racketeering and money-laundering.
Dotcom, who has New Zealand residency and is also known as Kim Schmitz and Kim Tim Jim Vestor, had been in custody since his arrest in a military-style raid on January 20 on his mansion outside Auckland by local police acting on a U.S. warrant.
Prosecutors say Dotcom was the ringleader of a group that netted $175 million USD since 2005 by copying and distributing music, movies and other copyrighted content without authorisation through Megaupload.com and related websites, among the world's busiest before they were shut down last month.
Dotcom's lawyers say the company simply offered online storage and that he strenuously denies the U.S. charges.
"The case they have presented doesn't have any substantial basis at all," Dotcom's lawyer, Paul Davison said.
Dotcom obtained bail on his second attempt, after the judge said a review of the facts and Dotcom's circumstances showed he was less of a risk of fleeing than before.
He said prosecutors had been unable to find any new funds or assets that had not already been seized, and prosecution claims that he was a wealthy man was not sufficient reason to hold him.
Under the bail conditions, Dotcom, who kept a private helicopter as part of his lavish lifestyle, must live in a small house near the mansion he had rented and wear an electronic tag.
"I'm relieved to go home and see my three little kids and my pregnant wife," a smiling Dotcom, 38, said after the ruling, as he was hustled toward a waiting car by supporters and lawyers.
He will be restricted in how far he can travel.
The judge also banned helicopters from flying to or landing on the property.
Judge David McNaughton, who presided in previous hearings, set August 20 as the earliest date he could hear the extradition case, which he has scheduled to last three weeks.