* * *

 

By Jonathan Pearlman, Sydney

 

During a failed appeal against a decision last week refusing bail, Dotcom, in his signature black t-shirt and black zip-up vest, gave details of his arrest at his $NZ30 million rented mansion.

 

He said he fled to his panic room because he heard banging on his door and did not know it was the police.

 

He said the "Red Room" had a safe with a pistol loaded with rubber bullets, but he made no effort to take it out and did not know how to use it.

 

Instead, he waited until police found him sitting on the floor behind a pillar. 

"I didn't want to pop out of a door and be shot," he told the High Court in Auckland. "I was scared."

 

 

The founder of the file-sharing website Megaupload was arrested and jailed in New Zealand after US authorities accused him of a "Mega Conspiracy" in which he cost copyright owners more than $US500 million. US officials are seeking his extradition.

 

The 38-year-old, known for his lavish lifestyle, was last week denied bail by a judge who said he posed a "significant" flight risk. A judge today agreed with that decision, saying it was possible the FBI had not frozen all of Dotcom's funds and that he may be able to illegally depart New Zealand.

 

Aside from the would-be female prisoner pen pals, who appeared to have left Dotcom unimpressed, details of other strange encounters also emerged during today's hearings.

 

A government lawyer said a man known to have forged travel documents had tried to visit Dotcom in prison, but the millionaire said he had never heard of the person and had no intention of fleeing.

 

"If people were to approach me and to offer such a service, I would tell them to go to hell," he said. "I have no desire to run away."

 

He was also contacted by a man pretending to be a court prosecutor, who claimed to be able to help him win his bail appeal.

 

During the hearing, Dotcom denied that he would seek to escape to his home country of Germany, from where he would be safe from extradition.

 

"I'm aware that if I go to Germany I would be unable to un-freeze my assets," he said. "What I want to do is stay here to fight and get my money back. What would I do in Germany with five kids and a wife with no money? It is not an option for me."

 

Dotcom also denied police claims that he had resisted arrest, saying he was punched in the face while in the panic room.

 

"And one guy was standing on my hand. It was bleeding." Telegraph