Los Angeles – The Recording Industry Association of America
(RIAA) has asked a federal court to freeze the assets of file-sharing company
LimeWire and its founder, Mark Gorton, alleging assets have been moved in an
attempt to avoid paying damages for copyright infringement, CNET News.com
reported.
LimeWire was found guilty of inducing copyright infringement in May,
and the judge in the case appears likely to shutter LimeWire.
During the trial,
the RIAA noted LimeWire had generated over $20 million in ad revenue.
It said that
LimeWire founder Groton began trying to hide assets days after the Supreme
Court’s landmark MGM v. Grokster ruling in 2005, transferring 87.1% of the
company’s ownership to a family trust.
While Gorton has filed statements
offering different reasons, the RIAA claims Gorton moved the assets to avoid
paying copyright infringement damages, which experts told CNET could reach $1
billion in the case.
Related Links:
http://news.cnet.com/8301-31001_3-20010248-261.html
