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Musk’s X loses legal battle in Australia with fine of USD417,000
(MENAFN) Elon Musk's platform, X (formerly Twitter), has lost a legal battle in Australia, resulting in a fine of USD417,000 imposed by the country's eSafety Commission. The commission had previously approached Twitter in February 2023, seeking clarity on how the platform was addressing the proliferation of child sexual abuse content. After Twitter was merged into Musk's newly established X Corp., the company was fined for providing "incomplete" responses to the commission's repeated inquiries.
X Corp. argued in Australia's Federal Court that it should not be held accountable because the eSafety Commission had initially targeted Twitter, which no longer exists. However, Justice Michael Wheelahan ruled against X Corp., stating that the company's claims were unfounded.
eSafety Commissioner Julie Inman Grant, a former employee of Twitter, expressed satisfaction with the court's decision, emphasizing that accepting X Corp.'s argument could have set a concerning precedent, allowing foreign companies to evade regulatory obligations in Australia through mergers. She has previously criticized X's efforts to eliminate graphic sexual and violent content as merely “empty talk.”
The eSafety Commission now faces the challenge of enforcing the fine, marking yet another confrontation between the Australian government and Musk. Earlier this year, Musk likened the Australian government to “fascists” in response to proposed laws aimed at penalizing social media companies for not curbing misinformation.
In a separate incident, the eSafety Commission sought a global takedown order against X to remove extremely violent videos of a stabbing incident involving a Sydney preacher. However, the case was dropped after a preliminary hearing, which Musk celebrated as a victory for free speech.
Musk has frequently clashed with governments and digital rights organizations globally, including potential actions from the European Union against X. In Brazil, where X faces suspension for ignoring multiple court orders, Musk has publicly criticized the judiciary, calling a judge an “evil dictator cosplaying as a judge.” These legal skirmishes reflect ongoing tensions between tech companies and regulatory bodies as they navigate issues of content moderation and compliance with national laws.
X Corp. argued in Australia's Federal Court that it should not be held accountable because the eSafety Commission had initially targeted Twitter, which no longer exists. However, Justice Michael Wheelahan ruled against X Corp., stating that the company's claims were unfounded.
eSafety Commissioner Julie Inman Grant, a former employee of Twitter, expressed satisfaction with the court's decision, emphasizing that accepting X Corp.'s argument could have set a concerning precedent, allowing foreign companies to evade regulatory obligations in Australia through mergers. She has previously criticized X's efforts to eliminate graphic sexual and violent content as merely “empty talk.”
The eSafety Commission now faces the challenge of enforcing the fine, marking yet another confrontation between the Australian government and Musk. Earlier this year, Musk likened the Australian government to “fascists” in response to proposed laws aimed at penalizing social media companies for not curbing misinformation.
In a separate incident, the eSafety Commission sought a global takedown order against X to remove extremely violent videos of a stabbing incident involving a Sydney preacher. However, the case was dropped after a preliminary hearing, which Musk celebrated as a victory for free speech.
Musk has frequently clashed with governments and digital rights organizations globally, including potential actions from the European Union against X. In Brazil, where X faces suspension for ignoring multiple court orders, Musk has publicly criticized the judiciary, calling a judge an “evil dictator cosplaying as a judge.” These legal skirmishes reflect ongoing tensions between tech companies and regulatory bodies as they navigate issues of content moderation and compliance with national laws.
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