Megaupload User Data Could Be Destroyed Soon

New submitter advid.net writes "According to the Associated Press, user data from the recently-closed file-hosting site Megaupload could be destroyed as soon as Thursday. Apparently Megaupload paid another company to actually store the data. 'But Megaupload attorney Ira Rothken said Sunday that the government has frozen its money. A letter filed in the case Friday by the U.S. Attorney's Office for the Eastern District of Virginia said storage companies Carpathia Hosting Inc. and Cogent Communications Group Inc. may begin deleting data Thursday. ... The letter said the government copied some data from the servers but did not physically take them. It said that now that it has executed its search warrants, it has no right to access the data. The servers are controlled by Carpathia and Cogent and issues about the future of the data must be resolved with them, prosecutors said." There's also been talk of a lawsuit against the FBI over users' lost files.

Comments

Re:Suing the FBI?

[Anonymous Coward]

They froze the assets of a company that hasn't been found guilty of anything yet? Why are they allowed to do that?

That's RICO for ya, baby.

When the U.S. Attorney decides to indict someone under RICO, he or she has the option of seeking a pre-trial restraining order or injunction to temporarily seize a defendant's assets and prevent the transfer of potentially forfeitable property, as well as require the defendant to put up a performance bond. This provision was placed in the law because the owners of Mafia-related shell corporations often absconded with the assets. An injunction and/or performance bond ensures that there is something to seize in the event of a guilty verdict.