Aqua-Soft ForumsAbout FileFactory website
NO !
Actually, they just provide the space and bandwidth to users for uploading files. They aren't responsible for all the stuff that users upload, that's entirely up to the uploader. The files you might find there might or might not be illegal depending on the contents; for eg if someone has, say, put up a wallpaper collection that is free to distribute, then it would be entirely legal to download that.
Offtopic: are you Indian? 
//Thread Closed.
Ojalord's response is spot-on. Feel free to carry on other personal conversation via the private messaging system 
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-NC
P.S: I didn't close the thread because of the conversation, but because Ojalord answered the question so thoroughly.