Musk’s Starlink Deal Sparks Corruption Scandal in Lebanon
BEIRUT (Dispatches) -- Lebanese journalist Hassan Illaik has uncovered a major corruption scandal involving the recent agreement between Prime Minister Nawaf Salam’s government and Elon Musk’s Starlink company.
Through his platform Al-Mahatta, Illaik reported that Lebanese Minister of Communications Charles Hage is at the center of the controversy.
The company representing Starlink in Lebanon, responsible for implementing the deal, is reportedly owned by Hage himself—a move Illaik calls “unprecedented corruption.” He noted that typically, an offshore company would be used to conceal such ties.
Illaik also revealed that Hage had proposed the contract with Starlink to the government. Hezbollah MP Ibrahim al-Moussawi emphasized that any such contracts must be approved by parliament to protect public interests, security, and transparency.
According to Al-Akhbar newspaper, Hage is pushing the telecom sector toward privatization at bargain prices, creating a monopoly over internet access with minimal compensation to the treasury.
The newspaper estimated losses of $5.9 million in treasury revenue in the first year and monthly losses of $1.1 million for the 20 largest private internet providers, who are effectively cut off by the deal.
The Lebanese Communications Ministry denied any wrongdoing, stating that licensing requires a Cabinet decree and that the process complies with legal frameworks ensuring transparency.
The ministry emphasized that Starlink’s spectrum is not exclusive and will not create a monopoly, adding that Starlink’s services will complement, not replace, ground internet, particularly in remote areas during emergencies.
Despite these reassurances, strong reservations remain. Seven major internet companies protested to government bodies, and security agencies reportedly blocked some Starlink equipment from entering Lebanon.
Concerns include potential evasion of oversight, illegal access to citizen data, and fears that the contract could facilitate espionage and communication with Israel, as warned by journalist and analyst Sondoss al-Asaad.