Lucky escape, I agree. Glad you've learned your lesson though. I don't mind it when people download the odd mp3 or movie here and there as I do it myself on occasions but selling them on is another matter.
I have a neighbour(well, he stays quite a bit up the road) that's unemployed, probably due to "not being able to work" for some reason, he's incredibly overweight so that'll be the reason! Anyway, at one point he went around every street in my area passing sheets through everyones letterbox containing a huge list of pirate DVD's he could make. The sheets were advertising the fact that he could make DVD's, CD's etc and contained all his contact details from address to phone number. What an idiot!
I also have a local butcher shop that owns a butcher van, which they sell their products out the back of. The butcher that works in the back of this van advertises the fact that he can make DVD's also. He asked my Gran if she wanted Oceans 13, the other day. He had a pile of ready-made DVD's, in the back of the van. I felt like phoning the owner of the shop and getting the chap the sack.