In a bold move, Brazil’s Supreme Court has ordered banks to transfer $3.3 million from the accounts of Elon Musk’s X (formerly Twitter) and Starlink. The ruling came after the social media platform, now under Musk’s control, repeatedly refused to comply with Brazilian legal demands. X failed to appoint a legal representative in the country and resisted removing harmful content flagged by the court as a threat to Brazil's democratic institutions.
The court, led by Justice Alexandre de Moraes and a panel of five other justices, enforced the fines to uphold Brazilian law. Although the funds have been transferred, the court released the frozen accounts of X and Starlink, stating no further need for the assets to remain frozen. However, X remains suspended in Brazil following a court order in late August.
Musk and his companies have strongly condemned the court's actions, labeling them “illegal” and claiming they were issued without due process. Neither X nor SpaceX responded to requests for comment, but the situation remains tense.
The friction between Musk and the Brazilian government goes beyond legal disputes. Brazilian news agency UOL reported that some of the accounts de Moraes ordered suspended on X allegedly belonged to individuals who threatened federal police officers investigating former president Jair Bolsonaro. Bolsonaro, an ally of Musk and a Starlink supporter, is under investigation for allegedly attempting to orchestrate a coup following Brazil's Jan. 8 riots.
Musk has ramped up his public criticism of de Moraes since April, even calling for his impeachment. The feud was further inflamed when SpaceX COO Gwynne Shotwell publicly urged de Moraes to stop “harassing” Starlink on social media. Despite these clashes, the court’s supporters view the enforcement against Musk’s companies as an assertion of Brazil's sovereignty and a defense of its democratic system.
As tensions rise, Musk’s ongoing disputes with Brazil could have lasting impacts on his business ventures in the region, particularly Starlink’s role in providing satellite internet services. The situation remains fluid, and all eyes are on how the tech billionaire will respond as Brazil doubles down on its legal orders.
