Boeing, US DOJ reach deal over 737 Max crashes to avoid prosecution
Washington: The US Department of Justice (DOJ) announced that it has reached a non-prosecution agreement with Boeing stemming from the two fatal crashes of its 737 Max aircraft, which together claimed 346 lives.
In its filing in the federal court in Texas, the DOJ on Friday described the agreement as "a fair and just resolution that serves the public interest," emphasising that it ensures immediate accountability and substantial benefits for affected families while sidestepping the uncertainties and risks of litigation.
Under the deal, Boeing will avoid a felony conviction and the scheduled trial next month, reports Xinhua news agency.
Boeing will have to "pay or invest" more than 1.1 billion US dollars, according to the filing.
It includes a 487.2-million-dollar criminal fine. A 243.6-million-dollar fine it already paid in an earlier agreement would be credited. It also includes 444.5 million dollars for a new fund for crash victims, and 445 million dollars more on compliance, safety and quality programs.
After the fatal crashes, Boeing was accused of conspiring to defraud regulators by withholding critical information about the 737 Max's flight-control system, which was implicated in both crashes.
In 2021, the company entered a deferred prosecution agreement to avoid prosecution, paying a total of 2.51 billion dollars -- including a 243.6-million-dollar criminal penalty, 500 million dollars for victims' families, and 1.77 billion dollars in compensation to airline customers.
"Boeing's employees chose the path of profit over candour by concealing material information from the FAA concerning the operation of its 737 Max aeroplane and engaging in an effort to cover up their deception," then-acting Assistant Attorney General David Burns of the DOJ's Criminal Division said after the 2021 deferred prosecution agreement.
That 2021 settlement was set to expire two days after a door panel blew out of a nearly new 737 Max 9 operated by Alaska Airlines on Jan. 5, 2024, after the aircraft left Boeing's factory without key bolts installed.
Following the incident, prosecutors alleged Boeing had breached its 2021 settlement by failing to implement an effective compliance and ethics program.
In July 2024, Boeing agreed to plead guilty to a criminal fraud charge in a revised settlement carrying a potential 487.2-million-dollar fine.
Lawyers for victims' family members railed against the preliminary plea deal, equating it to a slap on the wrist for the corporate giant.
A federal judge ultimately rejected that plea deal over concerns about diversity, equity, and inclusion criteria for selecting the corporate monitor.
Families of the crash victims have criticised past agreements as overly lenient, demanding greater accountability and calling for Boeing's executives to face trial.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
32 minutes ago
- Time of India
Trump's Attorney General Pam Bondi now in the line of fire - here's what happened and why it matters
It has been a tumultuous week for American politics, memory, and conscience. Another battle rages within the justice system. Pam Bondi , President Trump's Attorney General, has come under fire for what critics call serious ethical misconduct. The incident highlights broader tensions in Washington regarding justice, power, and political accountability. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Air conditioners without external unit. (click to see prices) Air Condition | Search Ads Search Now What exactly is Pam Bondi being accused of? In a 70-person ethics complaint submitted to the Florida Bar , US Attorney General Pam Bondi is charged with " serious professional misconduct ." Law professors, lawyers, and former chief justices of the Florida Supreme Court who lean liberal or moderate are among the signatories. They charged Bondi with misbehavior that "threatens the rule of law and the administration of justice,' as per a report by the Miami Herald. Live Events According to the Herald, the group's complaint claims that Bondi has violated her ethical obligations in her current position. Critics claim she is pressuring DOJ lawyers to act unethically. The complaint also claims that Bondi "sought to compel Department of Justice lawyers to violate their ethical obligations under the guise of 'zealous advocacy,'" as reported by the Herald. Why was the complaint dismissed so quickly? The petition was swiftly dismissed by the Florida Bar on jurisdictional grounds, but in Washington, one of the young punks who now work for the federal government, particularly at the Department of Justice (DOJ), sneered at it. In a statement given to the Miami Herald, Chad Mizelle, chief of staff for the Justice Department, stated that the Florida Bar has twice turned down performative attempts by these out-of-state attorneys to use the bar complaint procedure against AG Bondi. The signatories' lack of intelligence and independent thought will be the only outcome of this third futile attempt. ALSO READ: Alexandria Ocasio-Cortez just entered the Trump–Musk fight, and the Internet can't get enough Pam Bondi, a native of Florida, was the first female attorney general of the Sunshine State. According to the Florida Bar, "Pamela Jo Bondi" is a member "in Good Standing,' as per a report by The Hill. During her confirmation hearing a few months ago, Bondi was questioned by Democrats about her capacity to oppose Trump, who had repeatedly declared that he would come for his enemies and that he had the "absolute right" to do as he pleased with her department. FAQs Why is Pam Bondi facing criticism right now? She is accused by dozens of legal experts of pressuring DOJ lawyers to violate ethical standards, particularly in a contentious Feb. 5 memo encouraging aggressive tactics. Has the Florida Bar taken action against Bondi? No, it dismissed the complaint due to a lack of jurisdiction, though the criticism sparked a national debate.
Time of India
an hour ago
- Time of India
What it would take to convert a jet from Qatar into Air Force One to safely fly Trump
President Donald Trump really wants to fly on an upgraded Air Force One - but making that happen could depend on whether he's willing to cut corners with security. As government lawyers sort out the legal arrangement for accepting a luxury jet from the Qatari royal family, another crucial conversation is unfolding about modifying the plane so it's safe for the American president. Installing capabilities equivalent to the decades-old 747s now used as Air Force One would almost certainly consign the project to a similar fate as Boeing's replacement initiative, which has been plagued by delays and cost overruns. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 새로 나온 '실비보험' 최적가 가입추천! "주요 보험사별 맞춤견적+가성비 굿"... 굿리치 보험대리점 (등록번호:제2006038313호) 가입하기 Undo Air Force Secretary Troy Meink told lawmakers Thursday that those security modifications would cost less than $400 million but provided no details. Satisfying Trump's desire to use the new plane before the end of his term could require leaving out some of those precautions, however. Live Events A White House official said Trump wants the Qatari jet ready as soon as possible while adhering to security standards. The official, who spoke on the condition of anonymity, did not provide details on equipment issues or the timeline. Trump has survived two assassination attempts, and Iran allegedly also plotted to kill him, so he's well aware of the danger he faces. However, he seems willing to take some chances with security, particularly when it comes to communications. For example, he likes to keep his personal phone handy despite the threat of hacks. He boasted this week that the government got the jet "for free," saying, "We need it as Air Force One until the other ones are done." Here's a look at what it would take to make the Qatari plane into a presidential transport: What makes a plane worthy of being Air Force One? Air Force One is the call sign for any plane that's carrying the president. The first aircraft to get the designation was a propeller-powered C-54 Skymaster, which ferried Franklin D. Roosevelt to the Yalta Conference in 1945. It featured a conference room with a bulletproof window. Things are a lot more complicated these days. Boeing has spent years stripping down and rebuilding two 747s to replace the versions that have carried presidents for more than three decades. The project is slated to cost more than $5.3 billion and may not be finished before Trump leaves office. A 2021 report made public through the Freedom of Information Act outlines the unclassified requirements for the replacement 747s under construction. At the top of the list - survivability and communications. The government decided more than a decade ago that the new planes had to have four engines so they could remain airborne if one or two fail, said Deborah Lee James, who was Air Force secretary at the time. That creates a challenge because 747s are no longer manufactured, which could make spare parts harder to come by. Air Force One also has to have the highest level of classified communications, anti-jamming capabilities and external protections against foreign surveillance, so the president can securely command military forces and nuclear weapons during a national emergency. It's an extremely sensitive and complex system, including video, voice and data transmissions. James said there are anti-missile measures and shielding against radiation or an electromagnetic pulse that could be caused by a nuclear blast. "The point is, it remains in flight no matter what," she said. Will Trump want all the security bells and whistles? If the Qatari plane is retrofitted to presidential standards, it could cost $1.5 billion and take years, according to a U.S. official who spoke on the condition of anonymity to provide details that aren't publicly available. Testifying before Congress this week, Meink discounted such estimates, arguing that some of the costs associated with retrofitting the Qatari plane would have been spent anyway as the Air Force moves to build the long-delayed new presidential planes, including buying aircraft for training and to have spares available if needed. In response, Rep. Joe Courtney, D-Conn., said that based on the contract costs for the planes that the Air Force is building, it would cost about $1 billion to strip down the Qatar plane, install encrypted communications, harden its defenses and make other required upgrades. James said simply redoing the wiring means "you'd have to break that whole thing wide open and almost start from scratch." Trump, as commander in chief, could waive some of these requirements. He could decide to skip shielding systems from an electromagnetic pulse, leaving his communications more vulnerable in case of a disaster but shaving time off the project. After all, Boeing has already scaled back its original plans for the new 747s. Their range was trimmed by 1,200 nautical miles, and the ability to refuel while airborne was scrapped. Paul Eckloff, a former leader of protection details at the Secret Service , expects the president would get the final say. "The Secret Service's job is to plan for and mitigate risk," he said. "It can never eliminate it." If Trump does waive some requirements, James said that should be kept under wraps because "you don't want to advertise to your potential adversaries what the vulnerabilities of this new aircraft might be." It's unlikely that Trump will want to skimp on the plane's appearance. He keeps a model of a new Air Force One in the Oval Office, complete with a darker color scheme that echoes his personal jet instead of the light blue design that's been used for decades. What happens next? Trump toured the Qatari plane in February when it was parked at an airport near Mar-a-Lago, his Florida resort. Air Force chief of staff Gen. David Allvin was there, too. The U.S. official said the jet needs maintenance but not more than what would be expected of a four-engine plane of its complexity. Sen. Tammy Duckworth, an Illinois Democrat on the Senate Armed Services Committee , said it would be irresponsible to put the president and national security equipment aboard the Qatari plane "without knowing that the aircraft is fully capable of withstanding a nuclear attack." "It's a waste of taxpayer dollars," she said. Meanwhile, Boeing's project has been hampered by stress corrosion cracks on the planes and excessive noise in the cabins from the decompression system, among other issues that have delayed delivery, according to a Government Accountability Office report released last year. Boeing referred questions to the Air Force, which said in a statement that it's working with the aircraft manufacturer to find ways to accelerate the delivery of at least one of the 747s. Even so, the aircraft will have to be tested and flown in real-world conditions to ensure no other issues. James said it remains to be seen how Trump would handle any of those challenges. "The normal course of business would say there could be delays in certifications," she said. "But things seem to get waived these days when the president wants it."
Mint
an hour ago
- Mint
NIA chargesheets Goldy Brar and four others in the Gurugram twin bomb blast case
The National Investigation Agency (NIA) on Saturday filed a chargesheet against five individuals, including designated terrorist Goldy Brar, in connection with the twin bomb blasts that rocked two popular clubs in Gurugram, Haryana, in 2024. According to a press release, cited by HT, those named in the chargesheet include Canada-based Satinderjit Singh, also known as Goldy Brar, as well as Sachin Taliyan, Ankit, Bhawish, and US-based Randeep Singh, alias Randeep Malik. (This is a developing story. Keep checking for more updates)
