Doubts about the timing are being voiced online since one of those arrested is Moon Yong-sik of Nowcom, which also runs streaming site Afreeca. The site became famous for live broadcasts by users of candlelight vigils against the import of U.S. beef.

The Seoul Central District Prosecutors' Office on Tuesday said it arrested the presidents of five companies including Nowcom, which runs PDBOX, and KUTECH, which runs Endisk. The total number of the members of these five firms mount to 23.38 million, and the sales W74 billion (US$1=W1,024).

They are charged with promoting the illegal circulation of domestic and foreign films online by giving “heavy uploaders” 10 percent of their revenues from downloaders. According to the prosecutors, if a user pays W300 to download one film, the one who uploaded it gets W30, and the storage company earns W270. The system generates an estimated loss of W1.1 trillion for the domestic film industry, prosecutors say.

Prosecutors decided not to prosecute those who downloaded the files as their number is too large and it is difficult to assume that they knew the files they downloaded violated copyright.

But some Internet users say the government, unhappy with the candlelight vigils, has started cracking down on the Internet as a form of revenge. “As Afreeca became a mecca of online protests with over 7 million watching live broadcasts of candlelight vigils, we remain suspicious at the nature of this investigation,” Nowcom says. “It cannot be ruled out that a political motive is involved.” Prosecutors brushed off the claim, explaining that the investigation began in April, even before the candlelight vigils started, and Afreeca is not even part of this investigation.

(englishnews@chosun.com )