If it was e2ee, telegram would have nothing to worry about. It is not and telegram servers store all the data from channels. They could moderate the content but choose not to do so. Telegram can see everything by default. Actually enabling EE2E by default would make things better for Telegram.

This fact is the core of the French govt's complaint. If Facebook or Google didn't moderate anything, they'd be hunted down too. 

The logic of saying telegram is encrypted is like saying google is encrypted because of the TLS connection to their servers. Google can obviously see all your content in their cloud, even though the connectionibetween you and them is wrapped in encryption. 

Telegram should take responsibility and pay for bad decisions.  Who knows why they didn't enforce E2EE by default.