August 29th, 2012, 20:00 PM
Megaupload wins fight in New Zealand court to pay its bills
New Zealand's High Court ruled on Wednesday that Megaupload can take out a $4.8 million loan to pay its legal bills and rent for founder Kim Dotcom.
The advance will be secured against $10 million in New Zealand government bonds held by Dotcom but which have been frozen since April by a court order, according to the ruling by Justice Judith Potter.
The flamboyant Dotcom posted the outcome on his Twitter feed, later writing "Let's get together, let's all unite, or they will do whatever they like."
One of Dotcom's lawyers, William Akel, said Wednesday evening by telephone the ruling is "a good step."
Funds belonging to Megaupload, Dotcom and other co-defendants have been frozen since the file-sharing site was shut down in January. The U.S. is seeking to extradite Dotcom on criminal copyright infringement charges, alleging he and others encouraged the site's users to infringe copyright, causing more than $175 million in damages. Extradition proceedings are expected to begin in March.