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5th person arrested in Megaupload case;  no bail for mogul

A fifth person has been arrested in the Megaupload file-sharing case, a U.S. official confirms.
/ Source: msnbc.com news services

A fifth person has been arrested in the Megaupload file-sharing case, a U.S. official confirmed Wednesday.

The U.S. Justice Department official in Washington, speaking on condition of anonymity because the case is still pending, said Dutch police have arrested Andrus Nomm, 32, a citizen of Estonia and a resident of both Turkey and Estonia.

Police in New Zealand last week arrested Megaupload founder Kim Dotcom and three other Megaupload employees on U.S. accusations they facilitated millions of illegal downloads of films, music and other content, costing copyright holders at least $500 million in lost revenue.

On Wednesday, a judge in New Zealand denied bail to Dotcom pending his first extradition hearing on Feb. 22, saying he poses a flight risk.

Dotcom, 38, insists he is innocent and poses no flight risk.

In all, U.S. authorities have charged seven men in the conspiracy case and are still seeking the arrest of the remaining two men.

Authorities in the U.S. are seeking to extradite the four men arrested in New Zealand and are also expected to seek Nomm's extradition.

Dotcom, a German national also known as Kim Schmitz is accused of masterminding a scheme that made more than $175 million in a few years by infringing copyrighted content without authorization. H is lawyer has said that the company simply offered online storage and that his client is innocent.

The prosecutor said he was a "flight risk at the extreme end of the scale" because it was believed he had access to funds, had multiple identities, and had a history of fleeing criminal charges.

Three other men charged with Dotcom will also be remanded, but their lawyers have said they will contest the decision.