RSSAllofMP3: IFPI Raid a Publicity Stunt
By Nate Mook | Published May 24, 2007, 12:08 PM
Russian music store AllofMP3, which has long been under scrutiny by U.S. and European regulators for selling music without paying any royalties to artists, called out European music industry group IFPI Thursday, claiming the service is legal and a recently publicized raid was made up "sensational news."
The response followed news that the IFPI and British police raided the home of a 25-year-old London man who was selling vouchers to use on AllofMP3 as payment, and then transferring money to the Russian company's off shore bank accounts.
Mediaservices, parent company of AllofMP3, was forced to resort to voucher payments for U.S. and European customers after Visa, MasterCard and PayPal refused to continue servicing the site. Intense legal pressure has come down on AllofMP3, with U.S. music publishers filing a $1.65 trillion lawsuit against the company.
In its statement Thursday, Mediaservices distanced itself from the voucher arrest, saying the man was not an employee or operative of the company. Instead, it claims he was simply reselling "gift certificates."
"The Allofmp3 administration reiterates that the store has never had any activities outside Russia. Thus we do not have any offices or employees abroad. Allofmp3 operates in full compliance with Russian legislation and pays the necessary royalties to the rightholders and authors," it said.
"The members of the IFPI are unable to do anything about the natural crisis the music industry faces in the digital era. Instead they engage in unfair competition practices and political lobbying. They make up 'sensational' news to attract public attention to their activity which becomes less and less valid every day."
Mediaservices continued: "The IFPI and BPI turned a person reselling gift certificates into a 'European office of Allofmp3' in London. After that they initiated the loud 'closure' of this 'office' and an arrest of its mythical 'employee'. The young Londoner is a victim of music majors fighting the irreversible technological progress."
It should be noted that the IFPI never used the word employee, but rather called the individual an "agent" of AllofMP3. In addition, it never asserted that an office was closed down, simply that the man was arrested and his computer seized. After the raid, rumors spread that other European-based AllofMP3 voucher sellers stopped their operations as well.
What kind of English newspaper styling guide, newspaper standard does Beta*news* adhere to, the "CMS," "APA," "MLA," "MUTT"?
Am I the only one sick of BETA*news*' lazy -- oft-times bias, and filled with advertorials -- journalistic traits?
For example, granted I know "IFPI" translates to International Federation of the Phonographic Industries. The issue is, however, I, nor you, should have to look up an acronym.
The author of this article should've made at least one reference -- preferable the very first mentioning -- of the institution's complete name. Otherwise, the author runs the risk of turning interested parties away from the article's intent--more so if the article contains slightly less known acronyms and initialism that necessitate the use of Google's search engine.
-Nitpicker-
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|I fully agree.
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|Good job we have laws against malicious prosecution in the UK, looks like the Police Complaints Commission going to be busy again...
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|The RIAA has a $1.65 Trillion Dollar Lawsuit against AllOfMP3.com. This monetary amount is based on "$150,000 USD for each single violation of copyright infringement for tracks the site posted without authorization."
Who's there Lead Counsel, Dr. Evil and #2???
I am also sure that even if that were a foreseeable amount and they won and got paid, I am sue they would take all that $$$ and hand it right over to the artists (Sarcasm).
I have to think now: $150,000 per Single… That means that my 200 CD Collection which most CD’s have about 12 Tracks on them is worth: $360,000,000.00. I am sitting on a Fortune, I better e-Bay my collection and set the Buy It Now option up. I might have to charge a little extra for shipping, you know with the price of gas still up there.
I have said it before and I will say it again: RIAA, STOP SUEING YOUR CUSTOMER BASE! EMBRACE THE TECHNOLOGY!
For the Music Industry, to produce one (1) CD cost them a little over $1.00. Then they sell it to the consumer for anywhere between $10 - $20 of which the artist themselves get about $0.89 of each CD Sold.
The RIAA has more money then the Oil Companies and they are nothing but a Middle Man (Lawyers). They are a Governing Body, there is no actual (Physical) work they do.
Long Live P2P and sites like AllOfMP3.com.
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|Number One, i order you to go take a number two...
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|ZZZZZZZZZZZZZZZZ...
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|A publicity stunt indeed. More free publicity for AoMP3, anyway...
Ya gotta wonder if these folks are really *that* clueless.
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|There we have it - once again the greedy music industry falls on their nose in trying to spread fear, uncertainty and doubt.
Their blind sensationalism which wich they're desperately trying to get attention and their more and more mafia-like methods are just backfiring in the end and alienate their still paying customers even more.
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|PC_Tool
I think your views are really sound, except your comment you just made.
There is a reason why ROMS isn't recognized, and perhaps its a problem with RIAA, but till the RIAA AllofMP3 is still illegal and in many ways not paying ENOUGH of its income to the RIAA/ROM
Wouldn't it actually be international group that RIAA is a member of, not RIAA itself that is claims ROM is not a member of its group?
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|but till the RIAA AllofMP3 is still illegal
It *is* legal in Russia. By Russian law, any legal enterprise can sell products (or content) internationally.
It is not even illegal for US citizens to buy music from AllofMP3. (many have claimed otherwise, but importing music purchased outside the US is completely legal)
What RIAA is trying to imply by calling ALlofMP3 illegal is that there is some "international" law that requires all royalties be paid through them. Which is simply not true.
You are right about it not being enough for the RIAA....but since when has anything been enough for them?
Wouldn't it actually be international group that RIAA is a member of, not RIAA itself that is claims ROM is not a member of its group?
I believe you are referring to the WTO, of which Russia is not yet a member (and will not be so long as sites like AllofMP3 exist). Putin has claimed a few times that he'll solve the problem but has yet to actually take any action.
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|Honestly I kind of doubt the fact that he WILL take action ... or one that the RIAA will like. I actually kind of hope, myself, that he tells RIAA to shove it up their rear and buy the company outright. What would be doubly as awesome is if he 'dealt' with it by writing new laws specifically ALLOWING this sort of thing.
I honestly, also, think the WTO's accusations of, "ohhh we won't allow you into our little organization!" EVERY nation has their own laws and regulations. By no means does being inducted into the WTO mean that they have to abide by every single last rule. There are SOME they must agree on, but I kind of doubt this will completely nullify their changes of getting in.
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|AllofMP3 has been specifically mentioned by the WTO as blocking Russia's entry into the organization.
Talk about free PR....
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|How exactly does ROMS have the right to collect money on behalf of non-Russian performers? Is it sending royalties to those performers?
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|How exactly does ROMS have the right...
Because they operate under different laws and "rights" than we do. Under Russian law, all content such as music falls under a "Collective" license. As such, the content is sellable by Russian retailers so long as ROMS gets a cut.
Is it sending royalties to those performers?
It would if the RIAA would let 'em. The artists in question are under contract and would be breaking said contract if they went to ROMS themselves to collect. Since the RIAA has a "point" to make, they are not allowing this and are not going to ROMS on behalf of the artists. They refuse to recognize the legitimacy of ROMS and are therefore keeping the royalties collected from getting to the artists.
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|Perhaps I didn't make myself clear. I realise that Russian law gives ROMS the right but how exactly does Russia itself have the right to grant such "collective" licenses for content that is not owned by Russia?
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|Russian music store AllofMP3, which has long been under scrutiny by U.S. and European regulators for selling music without paying any royalties to artists,
False implication Alert!
This implies AllofMP3 is not paying for the music it serves. It pays 15% of all income to ROMS, the Russian equivalent of RIAA. Our RIAA refuses to recognize ROMS as legit and therefore refuses to take the money offered. AllofMP3 is paying, RIAA just isn't taking it.
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