Megaupload founder Kim Dotcom will appeal the verdict that the raid by authorities in his home in New Zealand was legal. Mr Dotcom has been fighting his extradition to the United States on charges of Internet piracy. He said he will file for a court appeal questioning the ruling on the legality of the raid, according to The Guardian.

The New Zealand court of appeals has junked the decision of the Supreme Court in 2012 that the warrants used in the raid were invalid since they did not specify Mr Dotcom's offences. The search warrants were obtained before Mr Dotcom's arrest and used to confiscate 135 electronic devices, servers and storage devices in January 2012.

Mr Dotcom again used his Twitter handle to announce he will not give up the fight against his extradition.

New Zealand's spy agency GCSB has been accused of erasing evidence relevant to Megaupload founder Kim Dotcom's case. The Web tycoon claimed that some of the lawyers who represented the spy agency had revealed some of the communications have been "automatically aged off" and they suggested using information which are "still recoverable."

Kim Dotcom tweeted his claims about the GCSB on Feb 3 which provoked calls to investigate New Zealand's spy agency.

Grant Robertson, Labour party associate Security and Intelligence spokesman, told 3news that if Dotcom's accusations were proven right, it brings "serious implications" to his case. Mr Robertson also recalled that Prime Minister John Key claimed in 2012 that the spy agency "does not delete files" but only archives them.

However, Mr Key reacted to Mr Dotcom's statements and said they were "completely and utterly wrong." He said GCSB's legal documents are stored in the system and has to age off it when it's no longer relevant.

In 2012, U.S. authorities had taken down Kim Dotcom's site Megaupload which had 50 million visitors per day prior to its shutdown.

After shutting down the Megaupload site, the U.S. government sought to extradite Mr Dotcom which forced New Zealand authorities to take him into custody. The investigation still continues with Mr Dotcom filing a $6.9 billion case against GCSB for raiding his house in 2012.