Two Brazilian CD manufacturers have been ordered by a Brazilian court to pay record companies over a million dollars after being found guilty of manufacturing pirate stampers (metal discs used in the manufacture of CDs) that were then used by Trace Disc Multimidia to replicate tens of thousands of pirate CDs featuring music by major international artists including Donna Summer, The Mamas & The Papas, The Platters, Rod Stewart, Trini Lopez, the Bees Gees, Jimmy Hendrix and Tony Bennett. A civil court in São Paulo handed down the judgment last week after a three-year investigation by police and industry enforcement teams. On hearing the result Márcio Gonçalves, head of the Brazilian record industry association ABPD, said: "Piracy is killing the market for music in Brazil. Sales are down more than 60% in five years. This prevents record companies investing in new local talent and employing local people. The government loses vital tax revenue. The court's judgment shows that the industry is fighting back and will target anyone who is involved in supporting this flagrant theft."
Geoff Taylor from worldwide industry group IFPI added: "This case is a strong warning to anyone involved in CD piracy in Latin America. CD plants need to understand that if they produce pirate orders for third parties, they will pay a heavy price. It is their responsibility to check what they are manufacturing. IFPI is stepping up its enforcement activity in the region and will pursue anyone involved in piracy with the full force of the law."