Police in London have arrested a 25 year-old man accused of selling vouchers
for downloads at
Allofmp3.com.
The
British
Phonographic Industry (BPI) said that the man is believed to be an agent for
the Russian music download site, which has been
outlawed in
the UK for refusing to pay royalties.
According to the BPI, the man was allegedly selling the vouchers, which
allowed users to access the site and download music, throughout the UK and
Europe via commercial websites and online auction services such as
eBay.
The use of vouchers is necessary because credit card firms throughout Europe
have vowed to
block any
attempted payments made to the service.
After selling the vouchers, sometimes for as much as £10, authorities claimed
that the man transferred the money to offshore bank accounts connected to the
owners of Allofmp3.com.
The BPI estimates that the operation generated "tens of thousands of pounds"
in revenue.
The man, a resident of Bow in London, will be charged with violating the
UK
Fraud Act 2006, which allows for the prosecution of individuals who make and
distribute materials intended for fraud. If convicted, he could face 10 years in
prison.
The practice of hiring a user as a 'mule' to facilitate illegal online
transactions and launder money is not uncommon. Foreign-based software pirates
and phishing groups have been using local agents for years.
The jobs are often presented as 'get rich quick' schemes and users are often
unaware of the true nature of the position until after they have been arrested.
Allofmp3 has been under fire from recording industry groups around the world
for nearly a year.
The BPI has brought suit against Allofmp3.com for its operation in the UK,
which the group says was at one time second in popularity only to
iTunes.
Allofmp3 maintains that its service is
licensed to operate under Russian
law, although the site warns that
foreign
users will not be protected and could face charges if they are in a country
where the service is illegal.
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