Elon Musk's X Paid $5M To Wrong Bank In Brazil, Delaying Reinstatement Of Its Services In The Country

Brazil’s Supreme Court has announced a delay in allowing X, owned by Elon Musk, to resume operations in the country due to a payment error.

What Happened: The social media platform mistakenly paid $5 million in fines to the wrong bank, hindering its efforts to lift a suspension imposed in late August, Reuters reported.

The Supreme Court suspended X for failing to comply with orders related to moderating hate speech and lacking a legal representative in Brazil. Although X’s legal team asserts that the fines were paid correctly, the court requires the funds to be transferred to the correct bank before considering the platform’s request to resume services.

Supreme Court Justice Alexandre de Moraes has instructed that the payment be redirected appropriately. Following this, the prosecutor general will assess X’s request to lift the ban. Despite the payment issue, X’s legal representatives have reiterated their plea to end the suspension, arguing against further consultation with the prosecutor general.

See Also: ‘Incestuous Milei’: Donald Trump’s Digital Slip With Javier Milei Parody Accounts Goes Viral On X

In recent weeks, X has adhered to court mandates, including blocking specific accounts under investigation. On Sep. 26, the company sought to resume operations, but Moraes ruled that the outstanding fines must be settled first. On Friday, X’s lawyers confirmed the payment of 28.6 million reais ($5.24 million) in fines.

Why It Matters: The suspension of X in Brazil follows a series of challenges faced by the platform. Recently, X released its first transparency report under Musk’s ownership, revealing the suspension of 5.3 million accounts and the removal or labeling of over 10.6 million posts for rule violations.

Additionally, X has been striving to re-establish its presence in Brazil after a ban in late August due to a censorship dispute with a local judge.

Read Next:

• Elon Musk Vs. McDonald’s: Tesla Fans Wanted Collaboration, Instead They Get New Product Launch Competing With Robotaxi Day

Image Via Shutterstock

This story was generated using Benzinga Neuro and edited by Kaustubh Bagalkote