
The Los Angeles Anti-Piracy Task Force today announced that it made 10 arrests and seized over $4 million in pirated product. At the same time, the website TorrentFreak claims that the record setting film Avatar was the most illegally downloaded film with over 16 million lifts, while blockbusters like Inception (9.72 million), Iron Man 2 (8.8 million) and Clash of the Titans (8 million), Sherlock Holmes (7 million) ranked high on the list of films hurt by piracy. Since those films still made global fortunes, would those numbers have been even higher without piracy, or are those pirates still going to the theater to see movies which are shown to best advantage on a big screen?
Here is the release by the L.A. Anti-Piracy Task Force:
(Los Angeles) – As part of its enforcement efforts to crack down on pirated and counterfeit goods, the Los Angeles Anti-Piracy Task Force, chaired by City Controller Wendy Greuel, announced the results of “Operation Chimney Sweep”, the largest raid on counterfeit goods in Los Angeles history.
“People who make counterfeit goods are stealing, plain and simple, it’s the same as picking someone’s pocket or shoplifting,” said Councilwoman Greuel. “We lose more than 100,000 jobs and billions of dollars to our economy each year because of these crimes. During these difficult economic times, every dollar lost to piracy represents wages lost for hardworking Angelenos. This should serve as a wake up call, not only to the criminals that produce and sell these illegal goods, but to all of the holiday shoppers out there. Piracy is serious business, but we are determined to sweep it out of Los Angeles.”
During the 2010 holiday season, under the leadership of the Anti-Piracy Task Force, dozens of officers – along with investigators from private industries – launched massive raids throughout Los Angeles making arrests and seizing millions of dollars of pirated movies, music and apparel.
Operation Chimney Sweep arrested 10 criminals and seized $4.06 million worth of counterfeit goods. Since it’s inception in 2004, the LAPD’s Anti-Piracy team has served 181 search warrants, made 498 arrests and seized $93.8 million worth of illegal goods. When you combine the LAPD and the LA Sheriff’s Departments numbers over the past five years, there have been over 700 arrests made and more than $305 million worth of counterfeit goods seized.
“Counterfeiters are often involved in other, more dangerous illicit activities. Few realize that the money a consumer pays for a counterfeit product may very well be financing even more serious criminal activities- like gang crime,” said City Attorney Carmen Trutanich. “As the top law enforcement official in the City of Los Angeles, I will work with my partners to thoroughly investigate and vigorously prosecute those involved in the manufacture, distribution, and sale of counterfeit merchandise.”
The Los Angeles Anti-Piracy Task Force was formed in February 2007 to combat the crippling impact to the Los Angeles economy of the counterfeit goods trade. Worldwide piracy disproportionately harms the entertainment and creative industries based in Los Angeles. Counterfeit goods cost Los Angeles County businesses $5.2 billion in lost revenue annually, plus $2 billion in losses for the retail sector, according to a report released by the Los Angeles County Economic Development Corporation (LAEDC). According to the LAEDC, piracy costs the Los Angeles economy jobs across nine sectors for a total of $4.4 billion in lost wages each year
“In today’s difficult economic times, it is tempting to purchase goods at a lower price. Frequently, these are pirated goods from unscrupulous sources. It is important to remember, while you may feel you are getting a bargain, there are victims involved, and the funds gained are used for criminal enterprise,” said LAPD Deputy Chief David Doan. “This operation was a long term effort that exemplifies cops working in partnership with other law enforcement agencies. It is the culmination of a long term partnership with these law enforcement agencies which significantly reduced the operations of a number of thieves, thugs and hoodlums, living and operating in the shadows here in Los Angeles and abroad.”
The Anti-Piracy Task Force has worked to generate policy recommendations and identify resources to deal with the problem of piracy. The task force is taking a three-pronged approach to fighting the production and sale of illegally duplicated movies, music and apparel. This strategy includes improving education, creating new policies and increasing enforcement.
“The film industry is one of America’s greatest exports that drives economic growth, provides good jobs, and generates vital revenue for governments and communities at all levels, especially in Los Angeles,” said Larry Hahn, Director U.S. Content Protection, Motion Picture Association of America, Inc. “We are grateful to the City of Los Angeles
and the LAPD for their leadership and sustained commitment to curbing piracy in Los Angeles, the film and television capitol of the world.”
“On behalf of the major U.S. music labels, we thank the L.A. Anti-Piracy Task Force, and particularly the Los Angeles Police Department and L.A. Sheriff’s Office, for their continued efforts to root out counterfeiting and piracy,” said Marcus Cohen, Director of Investigations, Western Region Office, RIAA. “Their hard work has resulted in heightened consumer awareness, more criminals off the street, the implementation of meaningful new policies, and – during this holiday season and in this difficult economic time – the preservation of many jobs of those in the creative community whose livelihoods are directly threatened by this theft. This historic holiday enforcement action sends a strong message to criminals that this kind of illegal activity won’t be tolerated while raising a red flag for last-minute holiday shoppers.”
The task force includes a diverse cross section of the leaders representing law enforcement, business, government and the entertainment industry. Members include: Mayor Antonio Villaraigosa, Los Angeles City Attorney Carmen Trutanich, Los Angeles County Sheriff Lee Baca, Los Angeles District Attorney Steve Cooley, United States Attorney’s office, the Los Angeles Chamber of Commerce, as well as other city, county, state agencies and members of the recording and film industries.


It’s hard to cry for a system that was created due to piracy itself.
Motion Picture Patents Company
You should all thank the original pirates. You have that great weather, no need to wear suits, and, in past days, a nice nationwide buffer between creatives and the Suits in NYC.
Pft. So they consider busting a handful of street peddlers a “major hit to the piracy industry?” God, these chuckleheads are so clueless, it’s not even funny. I wonder how many millions “Operation Clean Sweep” wasted on this token bust. I’m sure we can all sleep better knowing there’s a few less knock off Gucci handbags on the street though, as real criminals continue to bust into our homes and steal the real thing while the LAPD is busy doing PR and busting jaywalkers and drivers who turn right on red arrows.
Mike, you’re a journalist writing on a frequently iconoclastic blog known for cutting through the PR spin of the industry. So why are you toeing the movie studios’ addled line on piracy? Conflating commercial piracy with p2p piracy is antiquated thinking that the old media dinosaurs cling to in their attempts to lobby equally tech-averse politicians.
Commercial piracy, where a guy sells burned DVDs on the street, and p2p piracy, where users freely share content with each other online are completely different: they take place in different mediums, are used by different demographics, have different motivations and operate with completely different models.
Trying to apply the most torrented films list to commercial piracy seizure is bad analysis. Torrenting is dominated by male nerds. I’ll take a wild guess here and say that The Blind Side and Sex and the City 2 ranked a lot higher on commercially pirated films of 2010 than you seem to think.
If you think about it really think hard — entertainment and sports are the only industries we have to export to the world and get a return on. What other industry can compare? So if we can’t stop the theft of proprietory goods and services, then what’s left?
great point. something piracy apologists seem to be ignorant about. they’d rather keep repeating that celebrities have a lot of money so it’s okay to rip movies off. it shows a complete ignorance about the industry and the thousands of jobs it creates.
They show MTV Cribs where all those celebrities show off their 5 cars and 10 bedroom houses… They show idiots like Lindsay Lohan and Charlie Sheen who make millions of dollars and then get drunk and high… And they really think that ordinary people will want to give all their money to those twats so that they could become more rich?
So that Charlie Sheen could get 2 millions per two weeks easy work? When most of the people will never get $200 k for their whole life.
Piracy actually affects the working class more than the upper class. When the upper class loses money, they end up taking it away from the working class people whom they employ. Yes, there is an imbalance in the distribution of wealth in Hollywood, but it’s the same imbalance that exists in the rest of America. We shouldn’t let the working class suffer because of upper class improprieties.
I agree that piracy in essence is wrong.Now, I don’t live in California, but I can’t imagine that the common taxpayer appreciates their dollars going towards a task force that’s dedicated to making rich people richer and doesn’t really benefit them at all.
Now, I know a lot of average taxpayers work on movies and TV shows, but the majority of citizens have nothing to do with the entertainment industry and could care less about piracy one way or the other.
So, how exactly do they justify spending this money on finding pirates?Do they even have to?
Actually, most of the businesses in Los Angeles County exist because of the entertainment industry. The stars/big wigs need places to eat and shop and primp and relax. So do the people they employ. So do the people who come to L.A. to take their shot at the entertainment industry. And the people in the latter two categories would be classified as the “average taxpayer” referred to in the above post. Therefore, yes, the average L.A. taxpayer benefits from the piracy task force, and, since it’s a county operation, the average L.A. taxpayers are the only people paying for it.
It’s about protecting the working class, which, unfortunately, depends on the upper class and upper class dreams to make a living.
well I do live in California and I am happy to have my tax dollars go to stopping piracy, even if that task is a tall order. So many people, who are not rich as you’ve suggested, depend on films being financed in order to make a living. If the culture devolves into expecting to get the product for free, even if by illegal means, the financing will dry up and we’ll all have to go watch home videos on youtube for our entertainment.
Nice work, team. Way to crack some skulls. Now can somebody tell me why I can find every studio-distributed screener readily available to stream and download in high quality with a few simple keystrokes on my laptop? My WGA screener of The Town was available on Quick Silver Screen faster than it took the package to reach my house. It seriously takes less time to find Inception online than to go through the laborious process of opening that pesky bubble-wrapped envelope from Warners. Every writer, director and producer in this industry needs to take 5 minutes this holiday season, type their latest project into Google along with the word “Megavideo” or “Divx” and just see what happens. Maybe even stick around and read the posts from uploaders who whine to each other about certain films not yet being “available” in their preferred form (free). Don’t we have a few retired FBI agents we can stick in an unused office with a couple Dells to look into this?
“People who make counterfeit goods are stealing, plain and simple, it’s the same as picking someone’s pocket or shoplifting,” said Councilwoman Greuel.
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That’s not correct, and this sort of rhetoric does not help solve the problem. Reprehensible as it may be, copyright infringement is not legally “theft,” as the owner still has his stuff available for others to buy. Pirating a DVD is not the same as shoplifting a DVD from BestBuy. Moreover, if I would never pay more than $2 for an Avatar DVD, my pirating (which I have not actually done) of it would not even deprive the studio of a single sale. In contrast, if I were to shoplift the movie, the studio would no longer be able to sell that particular DVD to anyone, as it is off the market. See, there’s a different between tangible and intellectual property.
In order to stop piracy, you have to decrease the demand – by increasing the risk to pirates and/or making lawful acquisition more appealing. See how 99 cent purchases off iTunes has convinced many kids that pirating is simply no longer worth it (whereas piracy was very appealing in the face of $18 albums).
Actually, it IS the same, thief.
“Intellectual Property”: note the second word.
“Copyright”: in case you can’t figure that one out, it’s the ‘right’ to ‘copy’ something.
You trot out the same tired argument that IP thieves always use — ‘it isn’t really theft since it isn’t a physical object’. Please stop rationalizing theft.
However you spin it, you’re taking something for free that wasn’t meant to be. Either you believe in intellectual property rights or you don’t. Care to try again, thief?
Please let’s more carefully distinguish between people who make duplicates of copyrighted material FOR SALE, and those who share things with others for no material benefit.
If a family member who lives elsewhere comes over and uses a computer to Handbrake a DVD (or copy the Digital File) you bought onto a thumb drive, is that stealing? What if they just borrow the DVD for the evening? If they Handbrake it, and publish it to a torrent site, is that act illegal, or is downloading it illegal, or both?
I don’t think Avatar was hurt much by piracy since people at that time were curious about the new “3D technology” used by Cameron on Avatar. And the only way to see that is in theaters, not on a laptop or a dvd screener.
even those who consume bootleg dvds had to see avatar in theaters.
Just drop by the Beverly Hills Public Library where you can check out 60 yes sixty movies at a time for two weeks. Free. Sixty.
The problem the studios face stems from the new digital age that we are living in.
If I buy the DVD for “Avatar” (not that I would because I did not like the movie, but that’s beside the point), I can invite a large group of people over to my house to view it in my screening room. As long as I do not charge anyone to watch the movie, I am perfectly within my legal right to share it with my family and friends in the privacy of my home.
How is this different from “sharing” it over the internet? Well, the answer is simple: the studios don’t like it. The principle was the same with Napster in terms of music. There is no law that explicitly states that you cannot lend a CD or DVD to your friend, just as you could lend a book or an article of clothing. But, unlike an article of clothing, music, movies and books are considered “intellectual property”. Still, if I can lend a DVD to a friend across town, why can’t I do the same with a friend over the internet. Again, the simple answer is: the studios don’t like it.
The studios perceive this type of internet “piracy” as loss of “potential revenue”. The main question is: If a person cannot obtain a copy of a movie online for free, will that person buy the DVD or pay for a ticket to see it in the theatre? This question is impossible to answer as it calls for extreme speculation and would take an extensive survey to make that determination.
Personally, I would prefer the studios funnel the money they spend on anti-piracy campaigns and task forces into their movies as mainstream filmmaking has reached rockbottom when it comes to quality.
I live in Hollywood and i am apart of this industry, SAG and AFTRA member, so i can relate. Piracy hurts everyone but in order for the piracy industry to be hurt, the US must make laws effecting sites that STREAM movies and sites like MegaUpload that host these files. Like someone previously stated, you can type the name of any movie, Album, Song on Google + “filesharing site name” and i gaurantee you will find it! Its just to easy for people to gain access to the material.
Why would anyone want to buy any movie? for 8.99 a month you can watch as many movies as you want on Netflix, Which is a legal business. I wouldn’t want to purchase a movie on DVD for 9.00~ 18.00 and only watch it once, although I might sell it to someone else. which isnot piracy if I’m not mistaking.
WOW! They made “10 arrests”! That will really put a stop to piracy. Now all they need to do is shut down *every* torrent site and the problem will be over
Actually this bust reads like a PR stunt since anyone can find (online) movies, ebooks, video games, TV shows, screeners, comic books, songs, etc. within 5 minutes.
If you want to see stealing, check out how the entertainment industry treats musicians.