I think that if you're going to download MP3s, then either the artist has to specifically offer it for free or you should have to pay, just like any other format. Downloading MP3s without paying and without the artist's permission is basically the equivalent of walking into a music store and stealing a large number of CD's, of course it's a crime in these cases!
Downloading fine: $675,000 for 30 songs
A former Boston University student who was ordered to pay US$675,000 (NZ$879,703) for illegally downloading and sharing 30 songs on the Internet says he will continue fighting the penalty, despite the Supreme Court's refusal on Monday (local time) to hear his appeal. Ref. Source 5
MP3tunes boss held liable in copyright case
The former chief executive of bankrupt online music storage firm MP3tunes has been found liable for infringing copyrights for sound recordings, compositions and cover art owned by record companies and music publishers once part of EMI. Ref. Source 7
MP3tunes chief hit with $47m copyright fine
The former chief executive of defunct online music storage firm MP3tunes was ordered to pay an estimated US$41 million (NZ$47 million) after being found liable for infringing copyrights owned by record companies and music publishers once part of EMI. Ref. Source 3