Elon Musk's brain implant company Neuralink has been fined for violating United States (US) Department of Transportation (DOT) rules on the transportation of hazardous materials.

DOT inspectors found that Neuralink failed to register itself as a hazardous materials transporter during inspections of the company's facilities in Texas and California in February 2023, federal agency records reviewed by Reuters show.

Inspectors also found improper packaging of hazardous waste, including the flammable liquid xylene, and fined the company a total of $2,480.

This amount was lower than the initial fine because the company agreed to fix the problems.

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A spokesperson for the Pipeline and Hazardous Materials Safety Administration, the DOT agency investigating Neuralink, confirmed the violations and fine and said the investigation is now closed.

Xylene can cause headaches, dizziness, confusion, loss of muscle coordination and even death, according to the US Centers for Disease Control and Prevention.

Neuralink received permission from the US Food and Drug Administration last year for its first trial to test its implant on humans. Reuters reported in June that the company was valued at up to $5 billion, according to private stock trades.