Authorities in Shenzhen handed down one of the heaviest fines ever for copyright infringement on Friday. QVOD Technology Company has been ordered to pay a fine of 260 million yuan for distributing motion picture productions to hundreds of millions of its subscribers.
With about 300 million users, Shenzhen QVOD Technology Company has been fined for spreading 24 TV plays and video programs through its video-on-demand software. None of the programs had been authorized by their copy right holders for on-demand viewing .
"According to our investigation, the company earned 86.7 million yuan from illegal practices. The fine amounts to triple the illegal gains, an amount based on the law." Fang Canyu, Inspector of Shenzhen Market Supervision Administration said.
We were not able to reach anyone at the company for comment. But its offices appear to be in normal operation. The company must pay the fine within 15 days after receiving the penalty notice. If it fails to do so, 3 percent of the total penalty will be added to the fine every day.
"If the company refuses to accept the result, it has the legal right to lodge an administrative review within 60 days, or appeal to the court within three months." Fan said.
China’s on-line video industry is booming and the Internet has emerged as a major battleground in the country’s campaign to enforce copyright law.