Friday, 13 December 2024
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Airlines

Boeing to Plead Guilty to Fraud Charge in 737 MAX Crash Case

  • Boeing to plead guilty to a criminal fraud conspiracy charge over 737 MAX crashes.
  • The company will pay $243.6 million in fines and invest $455 million in safety measures.
  • Families of victims criticize the plea deal as insufficient, seeking harsher penalties.

Boeing has agreed to plead guilty to a criminal fraud conspiracy charge related to the fatal crashes of its 737 MAX aircraft in 2018 and 2019, which killed a total of 346 people. As part of the settlement, Boeing will pay a fine of $243.6 million and commit at least $455 million over three years to enhance its safety and compliance programs.

Despite the substantial financial penalties, the families of the victims are dissatisfied with the settlement, viewing it as too lenient. They had called for a much larger fine and the initiation of criminal proceedings against Boeing.

Boeing Faces Criticism Over Plea Deal in 737 MAX Tragedy

Boeing’s agreement to plead guilty to a criminal fraud conspiracy charge over the deadly 737 MAX crashes represents a significant step in addressing the fallout from the incidents. The crashes, involving a Lion Air flight in Indonesia in 2018 and an Ethiopian Airlines flight in 2019, were attributed to flawed flight control software. The settlement includes a $243.6 million fine and a commitment to invest $455 million in enhancing safety and compliance measures over the next three years.

This plea deal follows a previous $2.5 billion settlement in 2021, which many families of the victims felt was insufficient. They had advocated for more severe penalties, including a new fine of nearly $25 billion and the pursuit of criminal charges against Boeing. The recent deal, described by some as a “sweetheart deal,” has sparked criticism and frustration among those who lost loved ones in the crashes.

The US Department of Justice has been investigating Boeing’s practices and handling of the 737 MAX since the accidents. The latest settlement aims to resolve these investigations, but it has not quelled the anger of the victims’ families. They argue that the company should face more stringent consequences for its role in the tragedies and its alleged breach of the previous deferred prosecution agreement.

Boeing has denied violating the terms of the 2021 deferred prosecution agreement, despite a mid-air panel blowout incident involving a 737 MAX 9 aircraft operated by Alaska Airlines just before the agreement was set to expire. The case is still subject to court approval, with some families planning to urge the presiding judge to reject the plea deal.

The resolution of Boeing’s legal troubles remains contentious, with significant pushback from the victims’ families. As the court considers the plea deal, the debate over corporate accountability and justice for those affected continues.

“The new settlement with the DoJ, which was described by a lawyer for the families as a ‘sweetheart deal,’ will ensure there is no trial.”

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