C|Net News reports on testimony before Congress regarding links between criminal copyright infringement groups and terrorism (Terrorist Link to Copyright Piracy Alleged):

"Some associates of terrorist groups may be involved in IPR crime," Stedman said. "During the course of our investigations, we have encountered suspects who have shown great affinity for Hezbollah and its leadership." [emphasis added]

The real issue here is not whether terrorists are involved in criminal copyright infringement, they undoubtedly are, just as they are involved in many other legitimate and illegitimate businesses (the oil business comes to mind), but whether rhetorically tying copyright infringement to terrorism will become an excuse to pass draconian copyright measures that have nothing to do with stemming terrorism. Filesharing, for example, doesn't really help terrorists since it is so difficult to make money from people sharing copyrighted works.

Even though Stedman's evidence is circumstantial, his testimony comes as Congress is expected to consider new copyright legislation this year. An invocation of terrorism, the trump card of modern American politics, could ease the passage of the next major expansion of copyright powers.