Boeing has announced that it has accepted guilt in connection with fraud charges related to the fatal 737 Max crashes, agreeing to pay a $243.6 million fine as part of the U.S. Department of Justice’s investigation. The probe was initiated after two Boeing 737 Max 8 crashes within five months in 2018 and 2019, resulting in the deaths of 346 people.
Investigation and Agreement
The agreement between Boeing and the U.S. Department of Justice formalizes the aviation giant’s culpability in the crashes in Indonesia and Ethiopia, which led to the deaths of 346 people. This deal has sparked outrage among the victims’ families, who were demanding more severe penalties.
Investments and Supervision
In addition to the $243.6 million fine, Boeing has committed to investing at least $455 million in compliance and safety programs. Furthermore, an independent monitor will be appointed to oversee the company’s safety and quality procedures for three years. The agreement requires approval from a federal judge to take effect. Boeing, the U.S. aviation giant, stands to benefit significantly from this deal as it seeks to appoint a new CEO and acquire fuselage manufacturer Spirit AeroSystems.
Reactions from Victims’ Families
Families of the crash victims are contesting the agreement. Their attorneys will request the judge to reject the settlement. The victims’ families had sought a total penalty of $24.8 billion.