US Judge rejects Boeing's fraud plea deal related to 737 MAX crashes

From Investing.com: 2024-12-05 22:57:50

A U.S. judge rejected Boeing’s fraud plea deal related to the 737 MAX crashes, citing a diversity provision. Boeing and the DOJ have 30 days to update the court on their plans. Victims’ families called the deal inadequate. The judge’s objections centered on the diversity policy for selecting an independent monitor.

The rejected plea deal would have labeled Boeing a felon for defrauding the FAA. Boeing agreed to a fine up to $487.2 million and spending $455 million on safety improvements. Victims’ families want criminal charges and up to $24.78 billion in connection with the crashes. The DOJ found Boeing violated a 2021 agreement.

The judge’s objections focused on the diversity policy for selecting the monitor. DEI policies have sparked debates in America’s culture wars. Supporters say they combat bias, while opponents say they focus on characteristics over qualifications. The judge emphasized the importance of competency in selecting the monitor. O’Connor is known for conservative rulings.

Former NJ assistant AG expects a renegotiation of the deal. The monitor faces intense scrutiny over complex work. Uncertainty remains over renegotiation timing with Trump’s presidency ending soon. The judge’s decision reflects public interest and accountability concerns. O’Connor’s reputation for conservative rulings adds weight to the plea deal rejection.



Read more at Investing.com: US judge rejects Boeing plea deal in fatal 737 MAX crashes By Reuters