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High Court gives Dotcom deadline to reveal assets

Kim Dotcom has less than a month to disclose what his assets really are, the High Court at Auckland has ruled.

Justice Patricia Courtney has allowed an urgent application from major Hollywood studios for an order to reveal where Mr Dotcom’s money is coming from.

Last week the lawyer for the movie studios, Chapman Tripp partner Matt Sumpter, said his clients want a global picture of Mr Dotcom’s assets because it is clear he lives extravagantly.

Mr Dotcom has also donated $3.25 million to the Internet Party he founded, promised a $US5 million bounty for whistleblower information that will help his criminal or civil cases, and spent millions more on his music career. 

Negotiations over freezing orders have begun in the case, which is running in parallel with recording studios, but Mr Sumpter said the parties need to know how much money Mr Dotcom really has.

The fact that Mr Dotcom “lived extravangantly” and was bankrolling the Internet Party were evidence he has more assets than disclosed, it is claimed.

In a decision released today, Justice Courtney found the studios have a good arguable case for damages in excess of $11.8 million, which is the value of New Zealand assets currently subject of criminal restraining orders.

She ruled Mr Dotcom must serve an affidavit outlining the nature, extent and value of his assets by August 20, wherever they are located.

“The fact that Mr Dotcom is making very substantial payments such as to the Internet Party and is making statements of intent regarding other substantial payments leads me to conclude that there is a danger that any judgment obtained by the applications will go unsatisfied partly or wholly by Dotcom disposing of assets.”

The movie studios together allege Mr Dotcom and his associates made more than $US175 million through Megaupload, which sold premium accounts and dished out cash incentives to uploaders but delivered no money to artists or their record labels or movie studios.

That action has been stayed, or held off, pending other court actions against the German internet entrepreneur.

vyoung@nbr.co.nz

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Comments and questions
15

Did Mrs. Internet take a couple of truckloads with her as she departed?

Could the departure of Mrs have been pre-planned to take the truckloads elsewhere ?

Why should he tell them anything? They have made NZ government and Police look embarrassingly pathetic as puppets of the FBI.

It would be just deserts if Hollywood was able to claw back the monies spent on political interference... resulting in Laila & Hone being liable for a huge amount of monies - just before the election too, with no sugar-daddy to pay the bills...

I wonder if Laila's principles and commitment would remain the same or be as bendy as she has already demonstrated?

Wonder if KDC has paid over the $3.25m yet or is he acting like he did with his other creditors - pay only when he is compelled to.

We will know soon enough - will Laila and Hone continue to spin for KDC or are they busy now chasing him for money?

Given Kim Dotcom's close association with Mana, I am at a loss to understand why his legal team don't now seek Marae Justice, where 'like' cases must be treated in 'like' ways.

Be a good thing if everything he earned is forfeited to the movie studios.

Justice Courtney seems to be yet another lackey for the Hollywood moguls.

Let us see where Hollywood have stashed their billions over the years? Cayman Islands? Seychelles?

It is a nasty dirty war that Key and his cronies have dragged NZ's Justice system into and it is ill-prepared for the scum that will be trying to rort it.

Ah, Gee poor KDC How do you sleep with all the conspiracy theories running around in your little head. SO now Key controls the courts and the legal system of NZ. Golly from State house to God of NZ all in less than 60 years, what a man John Key is! Anonymous, take a realist pill and have a good look at life.

Anonymous, What does a Civil court action against Kim Dotcon have to do John Key? Answer: Nothing.
Your descriptions imply that you think the Prime Minister is interferring with Justice. It reflects badly on yourself if you believe that.
Best you step away from your keyboard and start focusing on improving yourself and come back to comment when you have grown up.
If the Prime minister had interferred like you imply, Mr Dotcom would be sitting in a US prison awaiting trail by now not pumping millions of dollars into an election that he can't even stand as a candidate for.

The comment above that the Judge is a 'lackey' is disrespectful and not appropriate for it to be published in my view. KDC has defied the system and successfully manipulated the media - if that is a success - whilst not paying many creditors on time. After 20 September, we may hear rather less from this non-citizen.

It is quiet straight forward to work out where he has funded the internet party from.
High net worth individuals have bought into the new Mega selling down KDC's stake significantly. Brokers wont touch it. Will the same high net worthers vote internet - I doubt it !
But will the listing work we will see. Greed ... 10 X their money is what they were pinning there hopes on. Regrets hmmm .. If they could get their money out now they would. That is why Baboom is struggling big time.
There are some law firms and barristers seriously milking the KDC bank account - which comes with the territory.

On the basis that KDC has no proof of legitimate income then why cant we just revoke his citizenship, list him as an over stayer have another dawn raid & ship him off to Obama...... problem solved...

He has not got citizenship, and never had. He has merely got residency.

Yes Kim Dot Com is a bit of a crook, however the government acted in a crooked manner and circumnavigated due legal process. So who is worse? Good luck to Dot Com.