Boeing pleads guilty to criminal fraud conspiracy charges related to 737 MAX crashes

From Investing: 2024-07-08 00:05:42

Boeing has agreed to plead guilty to a criminal fraud conspiracy charge in connection to the two 737 MAX fatal crashes in Indonesia and Ethiopia. The plea includes a $243.6 million criminal fine and possible repercussions on lucrative government contracts.

In an effort to resolve the Justice Department investigation, Boeing will invest at least $455 million over the next three years and appoint a third-party monitor. The guilty plea could impact the company’s ability to secure government contracts, but it avoids a trial that may have exposed internal decisions leading to the crashes.

The plea agreement is not shielded for any executives, but individual charges are unlikely. Boeing will meet with relatives of the MAX crash victims as part of the deal. The $243.6 million fine represents the maximum penalty allowed and is the second related to the fatal crashes. Families had previously criticized the earlier settlement and sought a larger sum from Boeing.



Read more at Investing: Boeing to plead guilty in US probe of fatal 737 MAX crashes, says DOJ official By Reuters