Millionaire Megaupload boss granted bail after his funds are seized to prevent him fleeing New Zealand

• Twenty stone Kim Dotcom granted bail in New Zealand and says he will fight U.S. extradition efforts
• Co-accused are also granted bail in one of the largest anti-piracy crackdowns ever

By David Baker
Updated: 09:37 EDT, 22 February 2012

The millionaire founder of file-sharing website Megaupload was released on bail in New Zealand today after authorities seized funds to prevent him fleeing the country.

Authorities in the U.S. allege founder Kim Dotcom facilitated millions of illegal downloads through his company and he is subject to online piracy charges.

Under one of the largest anti-piracy crackdowns ever, the U.S. Department of Justice is seeking to have Dotcom, also known as Kim Schmitz, and three co-workers, extradited to face charges including conspiracy to commit racketeering and conspiracy to commit copyright infringement.

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Bailed: Kim Dotcom founder of file sharing company Megaupload makes his way pass a large media scrum as he is released on bail in New Zealand following charges in a US led copyright infringement investigation

He had been in custody since his arrest on January 20 after he was initially denied bail

A smiling Dotcom spoke to reporters briefly outside the court as he was ushered to a waiting truck.

He said: 'I am relieved to go home to see my family, my three little kids and my pregnant wife

'And I hope you understand that that is all I want to say right now.'

He also confirmed he would be fighting U.S. extradition efforts.

Scrum: Kim Dotcom is guided through media after being released on bail at North Shore District Court today

Asked how he had been treated by the police after his high-profile arrest, Dotcom added: 'Well, it felt a little bit like an audition to 'American Idol.'

Dotcom was released without any monetary bail bond, which is standard for cases that come before New Zealand's district courts.

He does have other conditions of release, but Ministry of Justice officials declined to release those details.

Megaupload: German born Dotcom was bailed after a judge in an Auckland court ruled that he did not believe he would flee the country

U.S. authorities claim Megaupload cost movie makers and songwriters some half a billion dollars in lost copyright revenue.

They are trying to extradite Dotcom, 38, and three of his colleagues on racketeering charges.

New Zealand authorities have seized millions of dollars in investments and assets owned by Dotcom, including luxury cars and artworks.

North Shore District Court Judge Nevin Dawson found that the German-born Dotcom no longer posed a significant flight risk because, as far as the court was aware, he wasn't hiding any money or assets that could help him flee the country.

New Zealand courts had earlier turned down Dotcom's bail application and a subsequent appeal, saying he did pose a flight risk, but Dawson said those decisions were made when details about Dotcom's assets remained unclear.

'Since that time, all known assets have been seized and are unavailable for Mr. Dotcom's use or disposal,' the judge found.

'No new assets or accounts of any significance have been revealed since his arrest. Mr. Dotcom's submission that he has not concealed any assets or bank accounts has largely been borne out.'

Dawson also said he received an affidavit from Bonnie Lam, the Hong Kong chief financial officer of Megaupload, supporting Dotcom's contention that he has no resources available to him.

Bail: Bram van der Kolk, left, and Finn Batato, the co-accused of Kim Dotcom were previously remanded on bail at the District Court

Dotcom was born Kim Schmitz but legally changed his name. He is a citizen of both Germany and Finland and was granted New Zealand residency in 2010. He has also lived in Hong Kong, where the Megaupload company is registered.

Dawson disputed an earlier court finding that the U.S. doesn't have an extradition treaty with Germany.

The judge said there is a German law which prevents Germans being extradited to any country - but that a treaty between Germany and the U.S. would allow Dotcom to be prosecuted in Germany should he flee New Zealand and should German authorities deem prosecution appropriate.

He said a similar situation applies to Finland.

Dotcom's colleagues had earlier been granted bail by New Zealand courts.