http://torrentfreak.com/images/newzbin.jpgNewzbin is one of the original Usenet indexing sites and the creator of the immensely-popular .NZB format, which opened up simplified Usenet downloading to the masses.

While the major BitTorrent sites were in Hollywood’s spotlights as the major source of copyright infringement, Usenet sites such as Newzbin remained untouched.

This changed, however, when the Motion Picture Association (MPA), the MPAA’s big brother, sent a threatening letter to the site’s operators in 2008.

This letter was followed by an official announcement of a lawsuit against the Usenet indexer early 2009. The case eventually went to the High Court in February of this year where Newzbin was found liable for copyright infringement.

The court ordered the company that operates the site to stop indexing movies and TV shows to which the Hollywood studios own the copyrights. In addition, Newzbin was told to pay court costs for the MPA, which apparently bankrupted their operation.

“Regrettably the Newzbin website has to close as a result of the legal action against us,” the site’s visitors can now read on Newzbin’s homepage.

The Usenet indexer is linking to a blog post which has additional details on Newzbin’s troubles.

“Apparently Newzbin has been put into administration yesterday because it couldn’t pay its debts. Word is that they owe the MPA £230,000 just in interim costs, and that’s without a full costs ruling or a decision on damages. Apparently they also owe a software development house over £500k,” it reads.

Thus far we haven’t been able to verify the legitimacy of these claims with the Newzbin team, but since the post is linked on the homepage we assume it holds some truth. We will update this article when we find out more.

Article from: TorrentFreak.