A Federal Court in Australia has upheld a fine of A$610,500 (USD $418,000) imposed on Elon Musk's social media platform X, formerly known as Twitter, for failing to cooperate with a regulatory inquiry into its anti-child-abuse practices. The fine was issued after X did not respond to a request from Australia’s eSafety Commissioner, seeking details on how the platform was addressing child sexual exploitation content.

X had contested the fine, arguing that the company was no longer liable to respond to the notice issued in early 2023, as it had been restructured under a new corporate entity controlled by Musk following his acquisition of the platform in 2022. However, the court dismissed this argument, asserting that X was still obligated to comply with the regulatory request.

eSafety Commissioner Julie Inman Grant expressed relief at the verdict, stating that if X’s defense had succeeded, it could have set a dangerous precedent allowing foreign companies to evade regulatory oversight through corporate mergers. The Commissioner emphasized the importance of maintaining accountability for online safety measures.

In addition to the fine, eSafety has initiated civil proceedings against X for noncompliance. The platform has not yet commented on the court's ruling.

This ruling marks the latest clash between Musk and Australia’s internet safety regulator. Earlier this year, the eSafety Commissioner had ordered X to remove posts showing a bishop in Australia being stabbed during a sermon. X challenged the removal order, arguing that a single nation’s regulator should not dictate what content is visible worldwide. The posts remained on the platform after the regulator withdrew its case, with Musk accusing the order of censorship and labeling it a global overreach.