Kazakhstan vs. Mega Limited

In what surely is among the more unexpected news (or is it?) the Republic of Kazakhstan has taken Dotcom’s Mega Limited to the High Court in Auckland this month after documents were allegedly stolen from the Republic’s servers.

Kazakhstan originally filed a civil action in the United States District Court for the Southern District of New York against the unknown hackers. This naturally hit some rocky ground because neither Kazakhstan, nor the court, knew who the hackers were. The defended was listed as “Doe”, as in “John Doe”.

As you could guess, John Doe didn’t turn up and Kazakhstan’s representatives were the only ones at the hearing.

However the US Judge did find:

There is good cause to find that the Mega website contains at least 27 files that collectively contain or once contained 27 articles containing screen shots of excerpts of the Stolen Documents. Mega now hosts these Stolen Documents. The [Kazakhstan] Republic does not know who uploaded these files to the Mega website. Mega should have information (the identifying information) which will help identify who uploaded these files. The identifying information includes the IP addresses, email addresses, contact information, account information and payment information for the accounts that were used to upload the articles containing screen shots or excerpts of the Stolen Documents onto the Mega website.

Read more »


Oh the Irony, Pirate websites’ privacy compromised by Panama Papers



File sharing sites (often referred to as Pirate websites) make money from promising privacy to their customers. These kinds of companies are perfect for criminals. They allow pedophiles for example to upload and share child pornography. Now, thanks to the criminal actions of a hacker the Panama papers have had an unexpected consequence. They have compromised the privacy of customers who use Pirate websites like Mega.

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Kim Dotcom’s not feeling any love for his own private Internet

Eccentric entrepreneur Kim Dotcom claims to be building a “new private internet” safe from the prying eyes of surveillance communities, but experts say it’s a “preposterous pipe dream.”

MegaNet, expected to launch in 2016, is an encrypted ? and allegedly wholly private ? peer supported internet. When asked last month to prove whether his network was more than just an idea the mogul told Fairfax Media that it may be just his words now but that “the security community will appraise it and validate this service”.

Unfortunately, the security community has now spoken and they’re extremely sceptical.

“It’s a pipe dream to think that you can fight the national security agencies at their own game,” says Stephen Wilson, managing director of the Lockstep Group.

Remember, this is the brilliant idea where Dotcom is going to use all our smart phones to store encrypted chunks of data for other people. ?? Read more »


Mega listing collapses

Kim Dotcom’s new incarnation of Megaupload has had its backdoor listing spiked.

A deal for an NZX listing for Mega, the cloud-based file storage and encryption firm launched by internet entrepreneur Kim Dotcom in 2013 to replace his Megaupload empire, has fallen through because of delays in gaining approval from the listed shell company TRS Investments.

Auckland-based TRS, controlled by interests associated with Australian investor Paul Choiselat, has repeatedly extended its deadline for the Mega deal, with the latest deadline for shareholder approval set at May 29.

“It has become evident that this condition will not be satisfied within this time frame,” TRS said in a statement.

“TRS has been advised overnight by Mega that the shareholders of Mega will not agree to an extension of the conditional date.” ? Read more »


Mega’s little problem with a pesky thing called the law

Kim Dotcom is blowing hard once again on Twitter.


He is going on about ‘his’ MegaChat…funny thing is he was crying poverty and said he had given all his shares in Mega to his estranged missus…so quite how it is his is another matter entirely. Perhaps he has misled another court?

In any case his boastfulness ignores a problem.

Chris Keall at NBR explains.

Mega has said it will abide by the laws of every company it operates in. As a registered commercial entity it can barely take any other stance.

And when the FBI so successfully eavesdropped on the Skype chats and instant messages Kim Dotcom and his co-defendants while investigating Megaupload, it did so with a warrant issued by a judge.

What would Mega do if a law enforcement agency in a country its service operates in (that is, anywhere), hands it, or one of its users, a lawful warrant asking for encryption keys? In NZ, it has to live under the Telecommunications (Interception Capability and Security) Act, aka TICS, which gives our government broad-brush powers to demand depcryption keys from a service provider when there is a (very broadly defined) threat to NZ’s national interest. This as-yet-untested legislation gives the ICT Minister discretion over who is defined as a service provider. Network operators like Spark, Vodafone, 2degrees are very clearly service providers. It’s more of a grey area for the likes of Microsoft Skype, Google Hangouts and now MegaChat – but I’m guessing the Crown won’t give MegaChat a free pass. ? Read more »

Mona Dotcom in trouble


Mona Dotcom’s claim of 50% of Kim Dotcom’s wealth is based on three?ideas. ?One, that she has had no part in any crime, two, that the assets claimed aren’t a product of crime, and three, that she is going to divorce Dotcom so that New Zealand’s “no fault” divorce.

It is not surprising that the lawyers acting against Dotcom don’t see it that way.

a new filing the U.S. states that Mona currently has no standing to make such a claim, arguing that her interest under New Zealand law remains ?unquantifiable? until she obtains a New Zealand court order defining the extent of her marital property.

Noting that Mona herself previously claimed to have been ?completely financially dependent? on Kim Dotcom since their marriage, the U.S. states that Mona has failed to provide evidence that she has ?dominion and control over the properties? which give her standing to make a claim.

Highlighting Mona?s claim to one of the seized vehicles, the U.S. notes that ?Mona Dotcom cannot even drive ? and without that ability, it would seem nearly impossible for her to establish that she had dominion and control over the vehicles.?

However much I like to wish difficulties on Mrs Dotcom, I’m not sure if the latter statement has much credibility. ?I can definitely own a plane, even though I can’t fly one. ? Read more »


An interesting perspective on Dotcom’s bribe to the hackers

Kim Dotcom allegedly tried to save Christmas…more like shameless attempt to curry favour to climb out of NZ’s most hated list.

He did so by offering up 3000 lifetime accounts on Mega.

A reader notes:

So KDC is able to dictate to Mega management the disbursement of thousands of free Mega subscriptions to criminals?..

But we are told he?s no longer involved in the running of Mega according to court documents and Mega?s website. He?s apparently not even an owner as his wife has all the shares in a trust.

Yeah right?.

Oh well, I guess potential shareholders through Dotcom?s dodgy reverse listing into the TRS shell on the NZX will be that much more amused knowing that free subscriptions are being thrown around by criminals to criminals.

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Laila Harre doesn’t actually believe in her own party policies

…or she does, but she doesn’t have a clue what it all means. ?(More likely)




I still don’t believe that everything on Mega is inaccessible to the people who run Mega. ? It may be safe from outsiders, but the fact that they hold all the software and it hasn’t been independently verified to be secure leaves the possibility open that Mega staff and owners could, conceivably access anything at all.

This would be a matter of trust, would it not?

So you need to look at the people behind Mega. ?I wouldn’t be comfortable with it.


Is the Internet Mana party funded by drug money?

unnamedI’ve been thinking.

Where does Kim Dotcom get all his money from?

Reason is, I have a fairly accurate sense of where his assets supposedly are. ?After all, they are the subject of a court case and there are court records outlining them.

For someone with no money, he’s running a Mansion, lots of staff, personal security, vehicles, travel and that’s just for him. ?On top of that he’s funding lots of people directly and indirectly around the Internet and Mana Parties.

Just the other day he send a Tweet to Jason Ede urging him to make contact for a “life changing” chat. ?I interpreted that as an offer to pay a substantial amount of money for information that can take John Key down.

So money isn’t a problem for Kim.

Question is… why?

This happened earlier today:

The police investigation into money laundering came after a drugs inquiry which saw 600kg of pseudoephedrine seized, a primary ingredient in methamphetamine.

Inquiries by the Herald have discovered the Metropolis raid stems from an ongoing financial investigation into a friend of Mr Yan, Yingzi Zeng, from whom $9 million in assets were seized in December.

Her assets, frozen by a High Court judge, included a late-model Porsche and Maserati, a $3.9 million lifestyle block, an apartment, a large home, bank accounts and businesses. Read more »

Trading in Dotcom’s “backdoor share market listing company”, TRS Investment, halted

Trading in TRS Investment, the backdoor listing vehicle for cloud storage and encryption firm, Mega, has been halted pending an announcement from the company,?after?an?18.8 percent stake in Mega was?placed under a restraining order as part of a freeze on the assets of Auckland business William Yan.

Dotcom is looking to list Mega on the NZX through a reverse takeover and is spending heavily on?court action fighting his extradition to the US on conspiracy and money-laundering charges relating to copyright breaches, and on his political vehicle, the Internet Party. He stepped back from a hands-on role at Mega last year, resigning as a director in August to focus on his extradition hearing, music streaming website and political aspirations via the Internet Party.

Mega appointed Gaylard as its new chief executive this month, replacing Stephen Hall, who would remain with the business to work on its proposed reverse listing with TRS.

TRS chairman Keith Jackson was not immediately available for comment on what the announcement might be.

This month Mega raised US$7 million to help fund the listing, and pushed out a deadline to get TRS shareholder approval for the deal until the end of October.

Seems the dominoes are starting to topple?

Bill Liu asset raid nothing to do with Kim Dotcom? ? Seems he’s being affected after all.