Australian retailer accused of software piracy

Australian computer retailer Hi Technology Metal Recycles has been slammed in a correspondence - claimed to be from an ex employee - for allegedly selling PCs installed with unlicensed software.

A source who contacted ZDNet claims the company's Sydney office was reluctant to buy operating system software licenses for windows 98, ME and NT because "it was too costly".

The source claims he was told by Hi Technology Metal Recycles to "keep on installing copied software into the computers and selling them with an OS."

Hi Technology Metal Recycles (HMR) managing director for the company's Sydney office, Evan Bekialis, has firmly denied the allegations, saying the correspondence could be from a disgruntled ex-employee.

"We do not sell illegal software," he said.

HMR recycles end-of-life, overstocked or obsolete computers, for reselling back into the market.

Business Software Association of Australia (BSAA) says the selling of computers with unlicensed software is common practice.

"We find there is not much sympathy for companies which deliberately and knowingly install illegal copies of software on computers and instruct staff to sell them," BSAA Chairman Jim Macnamara said.

"Hard disc loading is a criminal offence if you are making illegal copies of intellectual property and selling it. If the company is doing this, fines can reach over $300,000 for corporations," he said.

Further investigations by ZDNet Australia suggest the source was an employee of Hi Technology Metal Recycles, although further details of his employment are unavailable at press time.

The BSAA's Macnamara said was unable to investigate further until it held discussions with the claimant.

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