Megaupload Users Granted Temporary Relief for Two Weeks from Data Deletion Threat

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Ever since Megaupload was shut down for online piracy on Jan 19, at least 50 million daily visitors were about one thing - how will they retrieve the files they had uploaded and stored on the site? On Monday, their concerns grew as the hosting companies for Megaupload site threatened to delete the user files as Megaupload, whose assets have been frozen, could not pay their fees. However, there's some temporary respite for the users now.

Megaupload lawyer in U.S. has announced that the two hosting companies for Megaupload said they have agreed to grant two weeks of reprieve to Megaupload users before they commence deleting all the files. The previous deadline was this Thursday (Feb. 2).

"The hosting companies have been gracious enough to provide additional time so we can work out some kind of arrangement with the government," CNet reported Rothken as saying.

It is reported that Megaupload lawyers are negotiating with the U.S. government to work out a solution for recovering user data.

Meanwhile, the U.S. government is seeking extradition of Kim Dotcom, Megaupload's founder, who is languishing in a jail in New Zealand ever since he was arrested following a police raid of his sprawling Dotcom mansion near Auckland.

As some of the Megaupload servers are based in Virginia U.S., the U.S. government could indict him over piracy, money laundering, and racketeering charges, and for damaging copyright owner of more than $500 million.

According to the indictment, the U.S, authorities are reportedly seeking $175 million in criminal proceeds.

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