Federal Supreme Court (STF) Minister Alexandre de Moraes ruled that Telegram must contribute to a process initiated by the Attorney General of the Republic, even citing cryptocurrencies in its grounds.
The defendants in the lawsuit are the executives of Google Brasil and Telegram Brasil, who campaigned against Bill No. 2.630/2020, the so-called Fake News Law.
The intention of the bill is to regulate social networks and private messaging services over the internet. However, as the bill made progress in the National Congress, it drew public criticism from Google Brasil and Telegram Brasil, who disagreed with the rules.
The case is still under investigation by the STF, which is investigating whether the platforms have abused it by taking a stand against the Fake News Law.
Minister of the STF recalled that Telegram has already received a lawsuit from the US CVM against its own cryptocurrency, TON
In the case of Telegram, Brazil’s federal police tried to talk to a law firm representing the social network. However, those in charge of the legal department told the agents that they no longer represent the platform as of May 14, 2023.
That is, the STF could not find out who is responsible for Telegram in Brazil and, consequently, cannot invite them to defend themselves.
When substantiating his decision, Alexandre de Moraes recalled that the SEC in the US had trouble citing Telegram over the creation of the app’s own cryptocurrency. At the time, 39 investors from the United States invested in the creation of the coin, drawing the attention of local authorities to a possible ICO.
During the trial, Brazil’s STF minister recalled that Telegram claimed it had no relation to the TON cryptocurrency and did not respond to US authorities.
Telegram may go through blocks again if it does not declare representatives in Brazil
After analyzing that Telegram has no known representatives in Brazil, STF minister Alexandre de Moraes ordered the corporate network’s subpoena to designate a representative within a maximum of 24 hours of the quote.
If the platform fails to comply with the measure, it may suspend its operations in Brazil for an initial period of 48 hours. It is worth remembering that in March 2023, the STF had already suspended Telegram, which at that time did not work in the country for several days.
Finally, Telegram may have to pay a daily fine of 500,000 reais if a representative fails to report to the STF.
“In view of the above, I REQUIRE THAT THE COMPANY TELEGRAM INC BE COLLECTED so that, within a period of 24 (twenty-four) hours from the summons through the electronic channel notified by it (content.referral-c1@telegram.org) proceed to the appointment, before the court, of an official representative in Brazil (individual or legal entity), under penalty of suspension of the operation of TELEGRAM services in Brazil, for an initial period of 48 (forty-eight) hours. ALSO FIXED, DAILY FINE of BRL 500,000.00 (five hundred thousand reais), to the company TELEGRAM, if it does not inform the current representative in Brazil after the specified period.
The Fake News Law project itself, which has not yet been approved but is still being discussed in Congress, envisages the retention of representatives in Brazil by foreign platforms.
Source: Live Coins
Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
