Hong Kong offers HK$40,000 reward to piracy whistleblowers

Since April 2001, anyone who knowingly uses pirated software in business commits a criminal offence under Hong Kong’s Copyright Ordinance. The maximum penalty is imprisonment of four years and a fine of $50,000 for each infringing copy. At present, Customs is investigating about 60 cases involving the use of pirated software.

After the implementation of the new legislation, Customs and the BSA claim that piracy has dropped.

Rewards under the new scheme will be paid out according to the following three stages:

• An initial payment of HK$5,000: where information provided on the use of pirated software in business leads to seizure in the company concerned of at least 20 computers installed with pirated software, or pirated software with a value of not less than HK$250,000.
• An additional payment of $15,000 will be made where the information provided leads to criminal charges being laid against the company concerned under the Copyright Ordinance.
• A final payment of $20,000 will be made where the information provided ultimately results in convictions by court.

Customs is appealing to all businesses to use legitimate software as well as to implement proper software asset management measures in order to comply with the law.