Tipsheet

Boeing Agrees to Plead Guilty to Felony in Deal With Justice Department

On Sunday, Boeing agreed to plead guilty to a felony charge of conspiring to defraud the federal government over two fatal crashes involving the 737 Max in 2018 and 2019. The crashes resulted in the deaths of 346 people.

In the court filing, the aerospace giant agreed to pay a $487.2 million fine and invest at least $455 million in safety and compliance programs, according to multiple reports. 

The Hill reported that the deal comes two months after the Department of Justice (DOJ) found that Boeing violated a 2021 settlement related to the two crashes.

Paul Cassell, a lawyer for 15 families of victims, told The Hill that some families filed an objection to the deal. The filing claims that the plea deal “unfairly makes concessions that other criminal defendants would never receive” and “fails to hold Boeing accountable.” 

“This sweetheart deal fails to recognize that because of Boeing’s conspiracy, 346 people died.  Through crafty lawyering between Boeing and DOJ, the deadly consequences of Boeing’s crime are being hidden,” Cassell said. 

According to the Associated Press, relatives of some of the passengers who died indicated that they will ask a federal judge in Texas to toss out the agreement, which they think is too lenient. They want a trial, a massive fine, and Boeing leaders to face charges.

Javier de Luis, a lecturer in the aeronautics and astronautics department at MIT who lost his sister, Graziella de Luis y Ponce, 63, in one of the plane crashes, told The Washington Post he was pleased Boeing pleaded guilty but stated that the agreement did not go far enough.

“This is a deal appropriate to a white-collar paper crime where nobody died,” he said. “Boeing’s actions led to the death of 346 people. This deal makes everyone who died a footnote in this.”

“They’re not trying to do anything in terms of justice, in terms of change, in terms of accountability,” said Nadia Milleron, whose 24-year-old daughter perished in the Ethiopian Airlines crash in 2019, reportedly said of the deal. “They’re trying to move the case along.”

On Oct. 29, 2019, in Jakarta, Indonesia, a Lion Air flight, a Boeing 737 MAX, crashed into the Java Sea minutes after takeoff. All 189 passengers and crew perished.

On March 10, 2019, Ethiopian Airlines Flight 302 crashed six minutes after takeoff. All 149 passengers and eight crew members passed away.

Last month, Boeing CEO Dave Calhoun apologized to the family members of the victims from the flights during a congressional hearing. Some of them were present at the hearing.

“I would like to apologize, on behalf of all of our Boeing associates spread throughout the world, past and present, for your losses,” Calhoun said while facing the families. “And I apologize for the grief that we have caused.”