The founders of MegaUpload, a file hosting service, have been accused of piracy and money laundering and the site’s assets were frozen. Because the site was unable to pay its hosting fees, the data on the site was threatened for total deletion.
According to MegaUpload’s lawyer Ira Rothken, “The hosting companies have been gracious enough to provide additional time so we can work out some kind of arrangement with the government.” The data on the site is said to be safe for the next two weeks.
Backups have been made of some of the data, which is to be used as evidence in the case against MegaUpload, but not all of the data. Carpathia Hosting is one of the sites holding MegaUpload’s backup data, but they will not be able to return it to the users. In a recent statement, Carpathia said:
Carpathia Hosting does not have, and has never had, access to the content on MegaUpload servers and has no mechanism for returning any content residing on such servers to MegaUpload’s customers.(…) We would recommend that anyone who believes that they have content on MegaUpload servers contact MegaUpload. Please do not contact Carpathia Hosting,”
The authorities and MegaUpload hope to find a solution for users to be able to retrieve their data before it is erased. Kim Dotcom (a.k.a. Kim Schmitz) and six others who ran the site were indicted by the U.S. Department of Justice in January. The site owners and employees are accused of making over $175 million and causing $500 million in copyright infringement, which could result in a 20 year maximum prison sentence.