Brazil Seizes $3 Million from Elon Musk’s Platform X and SpaceX Over Unblocked Accounts Supporting Ex-President

On Friday (September 13), Brazil's top court decided to unfreeze more than $3 million from the bank accounts of Elon Musk's companies, Starlink and X. This happened after the court had earlier frozen the accounts because Musk's companies didn't follow some important rules.

The problem started when Brazil told Musk's companies to block certain accounts on X that were supporting Brazil's former president and spreading false information.

Brazil Unfreezes $3 Million from Elon Musk's Companies

According to Fox Business, the court said that X was not allowed to operate in Brazil until Musk's companies met all the requirements, including paying a big fine and appointing a legal representative in Brazil.

Elon Musk has been very critical of the judge, Justice Alexandre de Moraes, saying that the judge should be removed from his position. Musk has called him names like "dictator" and said that X is a popular news source in Brazil, which is being unfairly restricted.

The court's decision to unfreeze the money means that Starlink and X can now access their funds, but X still cannot operate in Brazil until it follows all the court's rules. Musk owns 42% of both SpaceX and X, so this issue affects his businesses a lot.

Some people think it's unfair to hold Starlink responsible for what happened with X, since they are different companies. A Brazilian lawyer, Lênio Streck, said that Starlink should not have to pay for X's mistakes because they didn't do anything wrong themselves.

Experts Debate Court's Actions

On the other hand, some experts think the court's actions are fair. Luís Henrique Machado, a law professor, said it makes sense to make sure X pays the fines and follows the rules since it did not follow court orders, said AP News.

The argument between X and Brazil has been going on for a while. X was banned from Brazil starting on August 31 because it didn't agree to the court's demands. During the ban, many X users found new places to go online, like Threads and Bluesky.

The court's decision affected a lot of people, especially during Brazil's Independence Day when supporters of former President Jair Bolsonaro said that the ban was a form of political persecution. This shows how complicated the situation is and how it mixes legal issues with politics.

X had about 22 million users in Brazil before the ban, which is much smaller compared to other big social media sites like Instagram and Facebook. Starlink, which started operating in Brazil in January 2022, has a tiny share of the internet market.