Fmovies: Operators of World’s Largest Piracy Ring Dodge Prison

The saga of Fmovies, once a titan of the pirate streaming world, has taken another intriguing turn. Two Vietnamese operators indicted for their involvement with the massive piracy network have received suspended prison sentences. This development, which hasn't been shared with the press, is largely met with silence by the anti-piracy outfits who previously hailed Fmovies' demise as a "stunning victory."

fmovies logoFmovies first appeared online in 2016 and rapidly escalated into a severe headache for Hollywood as an incredibly resilient pirate operation.

Despite early intelligence from the MPA‘s anti-piracy arm, ACE, pinpointing the piracy ring to Vietnam, shutting down the operation required countless hours of enforcement work and significant diplomatic efforts.

This eventually paid off last year, when Fmovies and its various sister sites, good for more than 300 million monthly visits, started to crumble. A few weeks later, ACE formally confirmed that it helped Vietnamese authorities to shut down the world’s largest piracy ring.

“The takedown of Fmovies is a stunning victory for casts, crews, writers, directors, studios, and the creative community across the globe,” MPA CEO Charles Rivkin said at the time.

Fmovies Prosecution of Phan and Nguyen

The true scope of the takedown operation may never be revealed, but it was clear that getting to this point had not been easy. The same was true for the aftermath, including the prosecution in Vietnam of two Fmovies operators; the alleged mastermind Phan Thành Công, and accomplice Nguyen Tuan Anh.

According to local authorities, the defendants came up with the Fmovies plan in 2015, after meeting at Aptech vocational school. After their arrests, both men confessed in full to their involvement with the criminal piracy ring that reportedly generated around $400,000 in ad revenue over the years.

Follow-up paperwork revealed that Phan, the lead programmer and manager, took most of the spoils, leaving Nguyen, responsible for the sites’ content, with roughly 10% of the total profits.

With these confessions, subsequent convictions seemed almost certain. However, it now transpires that this didn’t provide the ending Hollywood had hoped for.

Fmovies Defendants Dodge Prison

While no new details concerning the prosecution have appeared this year, information published in a US Trade Representative (USTR) report suggested that the two Fmovies defendants were sentenced recently. Due to the slightly odd phrasing and limited detail, we were hesitant to report immediately, but after an inquiry to the MPA, we can now confirm that the information is correct.

Both Fmovies defendants received suspended prison sentences for their roles in the Fmovies piracy ring. This means that, similar to previous convictions in Vietnam, they won’t have to serve any prison time, provided that they don’t break the law going forward.

From the USTR report

suspended sentence
Sentencing details are not yet public, and it’s unknown whether the men are required to pay damages. The legal paperwork previously showed that they already repaid the financial “benefit” received from their crimes, which amounted to VND 406 million (approx. $15,900 total) for 30 films.

This relatively low amount, paired with the suspended sentences, must come as a disappointment to those who worked for several years to shut down the Fmovies piracy empire.

It also explains why the USTR urged Vietnam to seek prison sentences and higher monetary fines in piracy related cases going forward.

“In order to have a deterrent effect, Vietnam enforcement authorities should […] consider seeking prison sentences, monetary fines, and other criminal penalties at the higher levels that are available under Vietnamese law, in order to reflect the immense damage caused to copyright holders by these copyright infringement operations.”

Stunning Silence

The Fmovies case was watched closely by Hollywood and the U.S. authorities that also played a role in the crackdown. While the original websites remain offline today, the perceived leniency of the sentences will likely come as a major disappointment.

Thus far, there haven’t been any public statements on the sentencing; the silence speaks volumes. After securing a “stunning victory” that made headlines all over the world, the only convictions have passed quietly by.

To the best of our knowledge, the Vietnamese authorities haven’t publicly mentioned the prosecution’s outcome either. The only thing we know is that it took place more than a week ago, before the USTR report came out.

That same USTR report, which strongly urges Vietnam to take tougher action against remaining pirate sites and services, also indicates that this is a diplomatically sensitive subject. Paired with the disappointing outcome for rightsholders, this may explain the stunning silence.