A British man was granted bail today over allegations that he hacked into the US military computer system causing damage worth hundreds of thousands of pounds.
Gary McKinnon, 39, faces extradition to the United States over claims that he accessed 97 government computers over a one-year period.
Mr McKinnon, of Whittington Road in Wood Green, north London is contesting the extradition request.
Janet Boston, for the US government, told Bow Street Magistrates' Court in central London: "On one instance, the US Army's military district of Washington network became inoperable."
In all, his actions caused $700,000 worth of damage, the court was told.
District Judge Christopher Pratt granted Mr McKinnon bail to reappear for an extradition hearing on July 27th.
He was ordered to provide £5,000 security, report to his local police station, not to apply for any international travel documents and not to use any computer equipment allowing him to access the internet as bail conditions.
After the hearing Mr McKinnon was taken to Brixton Prison until his security was lodged with the court. This was completed later and he is expected to be released sometime this evening.
He was first arrested in 2002 but action against him was discontinued. Outside court, his solicitor Karen Todner said she was disappointed it had taken the authorities this long to bring him to court.
She said: "This decision for extradition is driven by the American government. Mr McKinnon intends to contest this case most vigorously."
She explained that the maximum possible sentence her client could face if found guilty of the charges in the United States would be 70 years.