Brazil unfreezes Starlink and X accounts after fine payment

The financial penalties stemmed from X’s failure to comply with court orders to block accounts spreading “fake news” and hate messages.

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Brazil’s Supreme Court has lifted the freeze on the bank accounts of Starlink and X after transferring 18.35 million reais ($3.3 million) to the national treasury. The decision follows a legal standoff between Justice Alexandre de Moraes and billionaire Elon Musk, who owns X and 40% of Starlink’s parent company, SpaceX. The fines, initially imposed over noncompliance, have now been settled, prompting the unfreezing of the accounts.

The dispute began when Moraes ordered X, the social media platform formerly known as Twitter, to block certain accounts accused of spreading misinformation and hate speech, which he deemed a threat to Brazil’s democracy. Musk resisted these orders, labelling them as ‘censorship.’ In response, the court moved to freeze Starlink’s accounts, as X had failed to comply with the demands, including appointing a local legal representative as required by Brazilian law.

Despite the resolution of the fines, Moraes has not lifted his order to block access to X in Brazil, the platform’s sixth-largest market. The restriction is tied to the platform’s failure to meet other legal obligations, such as removing specific content and appointing a legal representative in the country.

As the legal tussle continues, Musk’s companies remain under scrutiny in Brazil, a key battleground in the global debate over the regulation of social media and the balance between free speech and public safety.