US plans to seek guilty plea from Boeing over fatal 737 Max crashes

The fuselage plug area of ​​Alaska Airlines Boeing 737-9 MAX Flight 1282, which was forced to make an emergency landing with a gap in the fuselage, is seen during its investigation by National Transportation Safety Board (NTSB) in Portland, Oregon, United States. January 7, 2024.

NTSB | By Reuters

U.S. prosecutors are considering asking Boeing to plead guilty to a charge related to two fatal 737 Max plane crashes, lawyers for the victims' family members said Sunday, calling a potential deal a “sweetheart deal.”

Justice Department lawyers, family members of the victims and their attorneys spoke for about two hours Sunday to discuss the plan, the attorneys said.

Boeing declined to comment on the report, and it was not immediately clear whether the company would agree to a settlement. A guilty plea could complicate its ability to win government contracts. Boeing is a major defense contractor.

The Justice Department did not immediately respond to a request for comment.

The Justice Department said in May it was examining whether Boeing violated a 2021 agreement that shielded the company from federal charges related to the 2018 and 2019 crashes of its best-selling 737 Max planes, which killed all 346 people on both flights. Under the deal, Boeing said it would pay $2.5 billion.

The DOJ revisited the agreement after a door panel exploded mid-air on a new 737 Max 9 on an Alaska Airlines flight in January, triggering a new safety and quality control crisis for one of the world’s two suppliers of large commercial jets. The so-called deferred prosecution agreement was set to expire just days before the door panel exploded.

Boeing admitted in 2021 that two of its pilots defrauded the Federal Aviation Administration by concealing the addition of a new flight control system to planes before they were used commercially. This system was later implicated in both accidents.

According to Paul Cassell, one of Boeing's lawyers, the settlement includes Boeing paying an additional fine of about $247 million and installing an external monitor on the plane. Cassell called the new agreement a “slap on the wrist.”

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