It refuses to root out Nazis that use the platform in the name of "free speech", and it's happy to profit off of their use of the platform. They eventually partly backed down after a sustained campaign, but only agreed to ban a small number of prominent Nazi blogs without changing their general stance.
First: huh? I've never come across a Nazi on this platform. The one prominent Nazi instance was defederated very quickly by many other instances, including mine.
Second: there's a difference between having Nazis/being slow to remove them, and proudly declaring you won't remove them. Both are bad, but one is so much worse. Reddit, for example, is the former. Very friendly to Nazi viewpoints, but will at least hurry to remove them once it starts getting media attention.
But most importantly: Lemmy isn't one site. It's a federation. You could at most talk about one instance or another, or a group of instances, which "refuse to root out Nazis". Saying "Lemmy refuses to root out Nazis" is a sort of nonsense statement, like saying "the Internet refuses to root out Nazis".
My god, what a bad faith "test". Why not say something like "all Nazis are garbage pieces of shit"? Probably because you're hoping that the mods will remove your comment for the call for violence, so you can claim they're pro-Nazi/ anti- anti-Nazi.