In a surprising move, the founder of Megaupload has offered to turn himself over to U.S authorities if certain conditions are met.
Kim Dotcom had initially been fighting extradition to the United States under charges of racketeering, money laundering and copyright infringement.
The U.S. government is seeking their extradition on charges of racketeering, money laundering and copyright infringement.
The 38 year old German national announced the offer on Twitter.
"Hey DOJ (Department of Justice), we will go to the US," said Kim Dotcom on Twitter. "No need for extradition. We want bail, funds unfrozen for lawyers and living expenses."
Kim Dotcom’s offer to strike a deal with the FBI comes a day after a New Zealand judge postponed Megaupload’s extradition hearing until March 2013. The hearing was initially supposed to take place next month.
The delayed hearing is a result of a judge ruling that search warrants used to raid Kim Dotcom’s home in New Zealand were illegal.
New Zealand High Court Judge, Justice Helen Winkelmann, had ruled that the offence was not adequately described in the search warrants.
"The warrants did not adequately describe the offences to which they related," said Winkelmann. "Indeed they fell well short of that. They were general warrants, and as such, are invalid."
Megaupload Founder, Kim Dotcom, was arrested in January after authorities, which included the FBI, shut down Megaupload for online piracy.
U.S prosecutors accused the site of inflicting copyright holders with losses over $500m, while the company generated $175m in revenues.
The file hosting service, Megaupload.com, asked for U.S. criminal charges against the company to be dismissed in June this year, arguing that the U.S. has no jurisdiction over the Hong Kong based service.
Under U.S. law a company cannot be indicted that is not in the United States.
Please follow this author on Twitter @Tineka_S or comment below.