Itachi does all that for the good of konoha. The story is very long wait for the anime it will be much more fun than reading the manga. Itachi dies after the fight with sasuke. Sasuke gets the amaterasu power from itachi. Currently sasuke is working for the akatsuki and has 3 more partners. Pain has all but naruto's kyuubi he is attacking konoha for that now. The whole village is almost massacred. At the end of last chapter released kakashi almost is on the verge of death. Pain is single handedly owning all. This will probably continue till naruto returns.