MegaUpload host demands compensation

Digital locker MegaUpload’s main US host Carpathia on Monday renewed calls for financial relief for preserving 25 Petabytes of data that several parties are fighting for, but which the US Government appears willing to see destroyed. 

Carpathia filed for financial relief this week, blaming the Government for blocking any resolution, Ars Technica reported. 

Carpathia’s appeal came as MegaUpload’s founder Kim Dotcom, who remains under house arrest in New Zealand, yesterday confirmed the company and the Department of Justice (DoJ) had failed to find a solution to the problem, Torrent Freak reported.  

Carpathia has been caught in the middle since January, when the DoJ granted it permission to destroy the remaining 25 petabytes of data on the servers, which is costing the company US$9000 a day to preserve. 

Since then, The Motion Pictures Association of America (MPAA) and digital rights group The Electronic Frontiers Foundation (EFF) have filed suits demanding the data is maintained.

While the MPAA wants access to the servers to support possible civil action against MegaUpload, the EFF is fighting for users’ right to reclaim their personal data.

MegaUpload’s appeal for access to Carpathia’s servers argues they contain evidence critical to its defence.

MegaUpload’s lawyers have also accused the US Government of authorising the destruction in a bid to support its case that MegaUpload’s servers were wholly used for copyright infringement after selectively acquiring data from Carpathia.

MegaUpload has previously offered $1 million from its pool of seized funds to Carpathia for the servers, however the US Government objected to that deal.