A UK pirate trader sold £3 million of counterfeit software before its website was closed down. Nacha Alexander, head of Microsoft head of Microsoft antipiracy in the UK, said that Zoobon, which was closed down in January, was subject to many complaints from customers after buying goods from the company on eBay. The company's website was shut down following an out-of-court settlement.

As part of the settlement, details of the case could not be discussed until Thursday, Alexander said. Other terms of the agreement were also not made public, she said.

The illegal software is believed to have come from outside the UK, Alexander said.

"We're very, very protective of our customers," she added. "We are really trying to work very hard to close down these types of traders."

From August through October, about 21,000 counterfeit Microsoft products were withdrawn from eBay, Alexander said. About 60 percent of those were low-quality recordable CDs and DVDs, she said.