The charges stem from an undercover investigation, code-named
Operation Jolly Roger, into a sophisticated online warez group
known as RISCISO (RISC being an acronym for Rise in Superior
Couriering, and ISO referring to a file format).
Warez is a term commonly applied to software that has been
stripped of its copy protection and made available on the internet
for downloading. Those participating in the warez scene have become
a priority target for law enforcement.
According to the US Attorney’s Office for the Northern District
of Illinois, RISCISO allegedly acted as an original source for
thousands of pirated works, with over 19,000 gigabytes (equivalent
to more than 23,000 CD ROMs) uploaded and downloaded on one server
alone via the internet.
The copyrighted works included operating systems, utilities,
word processing, data analysis and spreadsheet applications,
communications programs, graphics, desktop publishing, movies and
games that could be played on computers and on video gaming
consoles such as Xbox and PlayStation 2.
The defendants were charged in a 15-count indictment that was
returned late on Tuesday by a federal grand jury in Chicago, where
the investigation was conducted.
All 19 defendants were charged with one count of conspiracy to
commit copyright infringement, and 15 of the 19 were charged with
one additional count each of copyright infringement – both of which
offences are prohibited by the No Electronic Theft Act, also known
as the NET Act.
If convicted, conspiracy to infringe a copyright carries a
maximum penalty of five years in prison and a $250,000 fine, and
copyright infringement carries a maximum of three years in prison
and a $250,000 fine.
The indictment also seeks forfeiture of 172 items of computer
hardware and related electronics that were seized from the
defendants during the searches.
“Online thieves who steal merchandise that companies work hard
to produce and protect might think that cyberspace cloaks them in
anonymity and makes them invulnerable to prosecution, but we have
the ability to infiltrate their secret networks and hold them
accountable for their criminal conduct,” said US Attorney Patrick
Fitzgerald.
“Intellectual property deserves protection by law enforcement
just like any other property,” he added.
