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FIRST EVER ‘CHIPPING’ CONVICTION IN UK

Tuesday 5 July 2005/... A 22-year-old Cambridge graduate today has become the first ever individual in the UK to be convicted for the illegal modification of video games consoles at Caerphilly Magistrates Court.

The offender had developed a new method of modifying Microsoft Xbox consoles, discovered in October 2004 by ELSPA's Internet Investigator, who then informed Caerphilly County Borough Council Trading Standards and Gwent Constabulary. He sold the consoles, fitting them with a hard-drive of 200GB and 80 pre-installed games, via his website for £380. The retail cost of this package, if genuine and unmodified, would be an estimated £3,000 for each one. ELSPA gathered the forensic evidence against him which led to the court result.

Mike Rawlinson, deputy director general of ELSPA commented: "This case today sets a major precedent which marks a milestone in the fight against piracy and in protecting the games industry's intellectual property. It sends a clear message to anyone tempted to become involved in 'chipping' consoles that this is a criminal offence and will be dealt with accordingly. The modification of consoles is an activity that ELSPA's anti-piracy team is prioritising - it is encouraging to see the UK courts do the same."

The penalty imposed, comprising a 140-hour community service order to be carried out in the next 12 months, £750 costs and forfeiture of all equipment seized including three tower PCs, two printers, three Xbox consoles and 38 hard-drives, reflected the youth of the individual and the fact that this was his first offence.

The modification of consoles has been an illegal practice since October 2003. After intense lobbying by ELSPA, the Patent office laid the Statutory Instrument for the introduction of the Copyright Directive. This Act made the whole process of chipping consoles illegal, including selling and advertising chips as well as providing a service for chipping.

The chipping process leaves the consumer with no recourse under any guarantee from the manufacturer and can damage the console.

EDITORS NOTES

About ELSPA - http://www.elspa.com

ELSPA (The Entertainment & Leisure Software Publishers Association) was founded in 1989 to establish a specific and collective identity for the computer and video games industry. Membership includes almost all companies concerned with the publishing and distribution of interactive leisure software in the UK.

ELSPA's activities include: Official Chart and Industry Reports, Anti-Piracy UK and EU, PR and Communication, Events. More information on all these activities can be found at http://www.elspa.com.

About Software Piracy and its negative impact on both consumers and industry

Piracy/counterfeiting is illegal and punishable by fines and jail sentences.

The illegal copying of software poses the very real threat of criminal prosecution and a criminal record, as well as the risk of massive personal financial loss under the Proceeds of Crime Act.

Consumers have no recourse under law for faulty pirated games, which can damage hardware.

Counterfeited/pirated games are often mixed with obscene or pornographic material.

Local and national jobs are lost as result of pirate operations.

Proven links exist between many organised counterfeiting organisations and dealers in drugs and pornography.

For further information on ELSPA or to arrange interviews, please contact:

EMMA COWIE

BARRINGTON HARVEY

Tel: 01462 456780

Fax: 01462 456781

Email: emma.cowie@bhpr.co.uk

Issued by: Barrington Harvey, Trooper's Yard, Bancroft, Hitchin SG5 1JW

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