Musk threatens to go after Brazilian government assets

3 Sep, 2024 15:22 / Updated 4 months ago
The country has banned access to X and frozen the accounts of satellite internet operator Starlink

Tech mogul Elon Musk has vowed to seek the seizure of Brazilian government assets in the US if Brazil does not return property belonging to his companies X (formerly Twitter) and Space X.

Last week, the Supreme Court of Brazil ordered the operations of X to be “immediately suspended” and threatened a fine of 50,000 Brazilian reals ($8,874) per day against anyone trying to sidestep the ban on accessing the platform using a VPN. The judge gave Google and Apple five days to remove X from their app stores. The ruling was upheld Monday by a panel of federal supreme court justices.

The court also froze the accounts of satellite internet provider Starlink, a subsidiary of Musk’s SpaceX, to ensure the payment of fines imposed for failing to appoint a new legal representative for X in Brazil.

“Unless the Brazilian government returns the illegally seized property of X and SpaceX, we will seek reciprocal seizure of government assets too,” Musk wrote on his social media platform.

“Hope Lula enjoys flying commercial,” the billionaire added, referring to Brazilian President Luis Ignacio Lula da Silva.

Musk was responding to a tweet of a news report about the US government’s confiscation of a jet allegedly used by Venezuelan President Nicolas Maduro, claiming it violated Washington’s sanctions against Caracas.

The fierce dispute between the Brazilian authorities and the US entrepreneur began in April, when Brazilian Supreme Court judge Alexandre de Moraes ordered X to delete the accounts belonging to several supporters of former President Jair Bolsonaro, calling them “digital militants” who spread “disinformation” about himself and the court.

The billionaire rejected the demand, highlighting that to comply with the order would violate Brazilian laws. Musk announced plans to suspend operations in the country, citing what he called censorship orders that his company refused to comply with.

Commenting on the seizure of Starlink’s accounts, Musk objected to the “absolutely illegal action” taken without any due process, pointing out that X and SpaceX are “two completely different companies with different shareholders.” He also pledged to provide free internet access to the company’s Brazilian customers while the accounts remain blocked.

On Monday, Reuters reported a senior state official as saying that Brazilian telecommunications regulator Anatel could introduce sanctions against Starlink, which is currently the only company that refused to comply with the ruling to shut down X. Anatel has warned that the company’s license for operating in the country could be revoked.