I think for the most part what they'll do is take a look through your PC to see if there's anything on there that's illegal and see what websites you've been surfing and then make a decision based on that. If someone else is using your internet connection to download porn or illegal movies and they get that its from YOU unless YOU have the same information on your PC (which you wouldn't if you didn't download the porn/movies) then you're ok. They'd probably tell you to secure your connection better.
They can also check IP Addresses and MAC addresses (remember that one is totally unique!) so if they don't match up then YOU probably aren't liable (especially since you took steps to secure your connection that any home user would); if they did "bust you" it'd be a fine for the most part (I would think). I should look that up....
This is the way I figure it anyway...
Your PC - porn/illegal movies = nothing done/tap put on line to catch bad guy or a fine
Your PC + illegal movies but no (illegal) porn = possible jail time (you did steal those movies you know!)
Your PC + illegal movies + porn = major beat down
Did that make sense?
P.S. Tried to find something online about this but couldn't...it seems that the government is way behind on the times lol...general consensus is basically that YOU (technodoll) wouldn't be liable for anything because you DID do everything you could (actually compared to the average person you went above and beyond) and it still got hacked...I suppose its similar to breaking and entering and having the bad guys leave behind something illegal in your house. You locked the doors, made sure the windows were closed, you set the alarm but they still broke in and decided to use your TV to watch kiddie porn or something. Of course in that case you can't actually prove you didn't own the porn in the first place but there's enough reasonable doubt to ensure you're ok, while with a PC there are many ways to tell what you've downloaded and what was on your hard drive.
Random fact: When you delete files the first letter of the filename is actually the only thing that's changed and its a character that allows the computer to overwrite the area which that file took up. So I have a file name "Megan.doc" and I've deleted it. It now becomes "@egan.doc" (I can't remember the character..could be a different one) the @ in the beginning tells the computer that the space that its taking up can be overwritten with something else (say a computer game or something). So if you have a recovery program (which the Feds would) they'll change the @ back to an M and look at the file
. It also works chronologically so if you deleted something today and deleted something a week from now, "today's" deleted file would be overwritten first. There are also programs that will destroy any record of the file (something like reformatting) but you have to pay BIGGGGG bucks for that
Since this guy's a "joe blo" with a bit more knowledge than the average guy (he DID manage to hack in you know) he probably doesn't have a program to "reformat" the old files away so if he did download something horrible then the Feds would be able to find it.
He's probably using a packet capture to figure out your WEP keys which is why he's continuing to hack in. You can get those programs for free though the fact that he's able to do it so fast means he must have it on continuously to monitor your changes. That part is not so good...you can't get around the MAC Address thing though not unless he already has access to your network AND has the password to get into the router.