Boeing's $444M Settlement Sparks Outrage Among Crash Victims' Families
Boeing has reached a tentative agreement with the U.S. Department of Justice to avoid criminal prosecution over two fatal 737 Max crashes that claimed 346 lives in 2018 and 2019. The deal, pending court approval, requires Boeing to pay $444.5 million to victims' families and invest over $455 million in safety and compliance improvements. Additionally, the company will pay a $243.6 million fine, matching a previous penalty from a 2021 settlement.
Under the agreement, Boeing will plead guilty to a single count of conspiracy to defraud the Federal Aviation Administration by concealing information about the Maneuvering Characteristics Augmentation System , a flight control system implicated in both crashes. The plea deal allows Boeing to avoid a criminal trial and maintain its eligibility for government contracts, a significant consideration given its role as a major defense contractor.
The DOJ's decision to offer this plea deal has drawn sharp criticism from victims' families and legal advocates. Paul Cassell, a lawyer representing some of the families, condemned the agreement as a 'sweetheart deal' that fails to hold Boeing accountable for the deaths caused by its actions. He argued that the financial penalties are insufficient and do not reflect the severity of the company's misconduct.
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Erin Applebaum, another attorney for the victims' families, echoed these sentiments, stating that the deal is 'inadequate and superficial.' She emphasized that the families deserve a transparent legal process that truly holds Boeing accountable and prevents future tragedies.
The plea agreement also includes the appointment of an independent compliance monitor to oversee Boeing's safety and quality reforms for three years. However, the selection process for this monitor has raised concerns, as Boeing will have input in proposing candidates. Critics argue that this undermines the monitor's independence and effectiveness.
This is not the first time Boeing has faced legal consequences related to the 737 Max crashes. In 2021, the company entered into a deferred prosecution agreement with the DOJ, agreeing to pay $2.5 billion in penalties and implement compliance measures. However, prosecutors later determined that Boeing violated the terms of that agreement, leading to the current plea deal.
The DOJ maintains that the new agreement ensures accountability and justice, asserting that it imposes the most serious penalties available under the circumstances. Nonetheless, many victims' families remain unconvinced, believing that the deal allows Boeing to evade full responsibility for its actions.
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