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Kiwi government braces for Dotcom lawsuit

Internet entrepreneur Kim Dotcom is suing the New Zealand government for billions of dollars in damages.


The founder of file-sharing site Megaupload is battling extradition to the US to stand trial for copyright infringement and fraud after his arrest in 2012. But he has said his arrest warrant was invalid.

He is now seeking damages for destruction to his business and a loss of reputation.

The Megaupload group of companies would have reportedly been worth $10bn, had they not been shut down.

Dotcom is seeking damages for, among others:

  • All lost business opportunities since 2012
  • All legal costs
  • Loss of investments he made to the mansion he was renting
  • Lost opportunity to purchase the mansion
  • Loss of reputation

“I cannot be expected to accept all the losses to myself and my family as a result of the action of the New Zealand government,” he told the BBC.

“This should never have happened and they should have known better. And because they made a malicious mistake, there is now a damages case to be answered.

“Under the NZ copyright act, online copyright infringement is not a crime.

“92B of Section 131 – an amendment created by parliament in 2012 – prohibits any criminal sanction against an internet service provider in New Zealand.
“In order for the US to be successful with an extradition, the allegation of the crimes that they are charging someone with also have to be a crime in the country from which they request the extradition.”



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