They are in Russia, that is correct. But the reason AllofMP3 is safe for the moment at least, is Russian law in these matters does not seem to include digital transfers of music. Russian legislation necessitates "corporeal" transfer of works to be considered in a legal aspect. I looked up corporeal in the dictionary :o and the definition is: Of a material nature; tangible.
The Prosecutorâ€™s Office in Moscow's South-Western district rejected initiation of the criminal case against AllofMP3, because he felt he was powerless without a physical item to view as evidence. It's rather interesting to follow even more of his logic. He also feels that these digital transfers are not even copies! He feels that it is the end user that takes the data and creates the copies. Heh.
Special thanks to forum member Redd Ears for bringing this interesting decision to our attention