1/30/2012 : BWIN.PARTY DEFENDS MEGAUPLOAD POSITION
Company unaware of any dubious dealings
bwin.party Digital has defended its link to the recently indicted Megaupload.com, saying it was unaware of any of the company's alleged illegal dealings.
The colourful founder of megaupload.com known as Kim Dotcom, formerly Kim Schmitz, aka Kim Tim Jim Vestor and Kimble is an internet entrepreneur who was arrested along with four others earlier this week and remains in police custody in New Zealand on suspicion of heading a global criminal conspiracy that involves copyright infringement and money laundering related to pirated films, music and TV programmes through his website megaupload.com
U.S. Authorities are seeking his extradition to face charges in the United States and if found guilty, he could face up to 20 years in prison. Dotcom (Schmitz) has previously been convicted for an array of charges ranging from hacking offences, insider trading, and embezzlement amongst others.
Unfortunately for bwin.party Digital, PartyGaming and its poker arm Party Poker were named in the indictment under "Third Parties" for paying over $3 million for advertising on the megaupload site. A contract which was initiated around mid-November 2009 before its March 2011 merger with Bwin and was "still active on or about March, 18 2011". Other's named included PayPal and Moneybookers.
bwin.party was quick to respond with John Shepherd the company's director of communications saying the company had terminated the contract once the news broke and that it "had no knowledge about any of the alleged activities undertaken by Megaupload."