Court denies Boeing plea deal connected to 737 Max crashes

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A federal judge rejected Boeing’s plea deal related to a criminal fraud charge connected to the fatal crashes of its 737 Max aircraft. The judge expressed concern that the government-appointed monitor, a condition of the plea deal, would incorporate diversity, equity, and inclusion policies in their selection process. The judge emphasized the importance of ensuring the monitor selection was solely based on competency for justice and public confidence. Boeing and the Justice Department were given 30 days to determine how to proceed following the judge’s decision. In July, Boeing agreed to plead guilty to defrauding the U.S. government by misleading regulators about a flight-control system implicated in the Lion Air and Ethiopian Airlines crashes which resulted in 346 deaths. Victims’ family members criticized the plea deal and sought more input, calling it a “sweetheart deal” and demanded real accountability from Boeing. The original plea deal aimed to help Boeing recover from safety issues, including a door incident on a flight earlier in the year. The judge raised concerns about Boeing’s breach of a previous plea agreement and the new plea deal carried a fine of up to $487.2 million. However, the Justice Department recommended crediting Boeing half of a prior payment, resulting in a fine of $243.6 million.

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