In September 2007, the IFPI logged a formal complaint with the Hebei Provincial Copyright Bureau and further investigations led to the revelations that "copyright infringing files accessed by the delivery service were hosted on servers owned by Zhongsou in Cangzhou city in Hebei province." The ISP Cangzhou Netcom then helped authorities seize the three servers.
The administrative fine of RMB 100,000 that the site must pay is the largest fine for copyright infringement in the history of Hebei province and the first time a site of the nature of Zhongsou has been forced to pay such a fine. Yahoo China and Baidu were found guilty of similar charges but did not pay such a fine.
Leong Mayseey, Regional Director of IFPI Asia, added: "We are pleased with the maximum fine imposed by the administrative authorities against Zhongsou's blatant and deliberate infringement of our members' copyright. This should send a signal to other similar infringing music services.
"China has the potential to be one of the most dynamic digital music markets in the world, but legal services cannot compete when household names like Zhongsou deliberately break the law, abuse the rights of others and seek to drive advertising revenue by providing illegal content. We cannot tolerate such abuse of our members' rights and other internet companies that are breaking the law should be warned that we are coming after them next."
Written by: Andre Yoskowitz @ 24 May 2008 15:25
