In a continuing legal dispute between tech mogul Elon Musk and a Brazilian judge, the Brazilian Supreme Court has ordered the seizure of around $3.3 million from bank accounts belonging to Musk's social media platform X and satellite-based internet service provider Starlink. The move by Justice Alexandre de Moraes aims to collect fines owed by X to the country. However, legal analysts have raised concerns about freezing Starlink's bank account to pay for X's cases, as the two companies are separate entities.

On Friday, Justice Alexandre de Moraes ruled to transfer over 7.2 million Brazilian reais from an X bank account and nearly 11 million Brazilian reais from a Starlink account. The decision to freeze the accounts was made on Wednesday, but the ruling on the case is yet to be made public. Following the payment of the owed amount, the Supreme Court announced that the bank accounts of both companies have been unfrozen.

The controversy surrounding Starlink fines stems from the fact that Starlink and X are distinct companies, although Elon Musk owns both. Many legal analysts, including renowned Brazilian jurist Lênio Streck, argue that charging Starlink for X's fines is unjust as Starlink did not participate in the alleged offenses and did not have a chance to defend itself.

However, some legal experts, like law professor Luís Henrique Machado, argue that de Moraes' decision is legitimate. They point out that X was sanctioned for refusing to remove content flagged as illegal by the Supreme Court, and it is reasonable for the judge to request payment of the fines. Machado states that the ruling is valid and imposes the transfer of the amounts coercively.

The ongoing feud between X and de Moraes began when the social media platform resisted blocking certain users, mainly far-right activists accused of undermining Brazilian democracy. Elon Musk has labeled the Brazilian justice a dictator and an autocrat due to his rulings affecting his companies in Brazil.

X was banned nationwide on August 31, and de Moraes imposed a daily fine of $9,000 for anyone using a virtual private network (VPN) to bypass the suspension. This has led X users to look for alternative platforms like Threads and Bluesky. The ban on X has also become a focal point for supporters of former Brazilian president Jair Bolsonaro, who view it as evidence of political persecution.

X had an estimated 22 million users in Brazil, a small fraction compared to the numbers on Instagram, Facebook, and TikTok. On the other hand, Starlink, which began operations in Brazil in January 2022, holds a 0.5 percent share of the internet market, according to Brazil's telecommunications agency Anatel.

The decisions made by Justice Alexandre de Moraes have sparked debate among legal analysts, highlighting the complex relationship between tech companies and legal accountability. As the legal battle continues, it remains to be seen how this dispute will unfold between Elon Musk's companies and Brazilian authorities.