WSJ: Boeing seeks to scrap guilty plea deal in deadly crashes of 737 MAX jets
Boeing is attempting to rescind an agreement to plead guilty in a criminal case that held the company accountable for misleading regulators prior to two fatal crashes involving its 737 MAX aircraft, according to a report by the Wall Street Journal. A US judge previously rejected this deal in December due to issues with a diversity and inclusion clause, prompting Boeing and the Justice Department to engage in negotiations for a new arrangement.
In July, Boeing had agreed to plead guilty to a charge of criminal fraud conspiracy following the tragic crashes in 2018 and 2019, which resulted in the deaths of 346 individuals. The initial agreement included a substantial fine of nearly $487.2 million and a commitment to invest $455 million in enhancing safety measures over a three-year probation period. However, families of the victims criticized the deal as insufficient, claiming it allowed Boeing to evade true accountability for the loss of their loved ones.
An approved plea agreement would officially label Boeing as a convicted felon, a severe consequence for its actions in deceiving the Federal Aviation Administration regarding the faulty software that contributed to the crashes. Following a determination in May that Boeing had breached a previous 2021 agreement that had shielded it from prosecution, the DOJ decided to pursue criminal charges against the company.
In light of ongoing safety concerns, highlighted by a dangerous incident in January 2024 involving an Alaska Airlines flight, regulatory officials have emphasized the need for stricter oversight of Boeing. Judge Reed O'Connor described Boeing's actions as possibly the deadliest corporate crime in US history, reflecting the severity of the situation.
With the change in administration bringing new perspectives on regulatory practices, officials have expressed a desire for more stringent measures against Boeing, indicating a shift in how the aerospace industry might be held accountable moving forward.