Australian court slams Elon Musk with $418,000 fine over breach of minor safety

An Australian court has slammed Elon Musk's social media platform X (former known as Twitter) with a fine of A$610,500 ($418,000) for failing to comply with a request for information from Australia’s eSafety Commissioner, an internet safety regulator regarding anti-child-abuse practices. 

X had however contested the fine, arguing that it was not obligated to respond.

But the Federal Court of Australia ruled in favor of the regulator.

The case centers around X’s refusal to provide details on its efforts to combat child sexual exploitation material, as requested by the eSafety Commissioner in early 2023.

 X’s legal team argued that the platform, having been integrated into a new Musk-controlled entity after he took it private in 2022, was no longer liable under the original regulatory obligations.

eSafety Commissioner, Julie Inman Grant hailed the court's verdict, adding that the decision would set precedent for companies to uphold regulatory rules.

“Had X Corp’s argument been accepted by the Court it could have set the concerning precedent that a foreign company’s merger with another foreign company might enable it to avoid regulatory obligations in Australia,” Grant said in a statement following the verdict.

X has yet to comment on the court’s decision as at time of filing the report.