Former Immigration Minister Jonathan Coleman has confirmed he knew about Kim Dotcom's application to live in New Zealand.
The founder of MegaUpload, is waiting for a decision on whether he will be granted bail, as the United States seeks his extradition on internet piracy charges.
The German millionaire was granted residency under an investor category in 2010, despite a previous fraud conviction.
Dr Coleman, who was Immigration Minister at the time, says he was told by immigration officials they were going to grant residency to Mr Dotcom a short time before the decision was made.
He says the Immigration service made the decision, not him. Dr Coleman would not comment further.