Boeing Pleads Guilty to Deadly 737 MAX Crashes of 2018 and 2019 to Avoid Criminal Trial — Agrees to Pay Additional $243.6 Million Fine
The Boeing Company has agreed to plead guilty to charges of criminal fraud conspiracy related to the catastrophic 737 MAX crashes of 2018 and 2019, which tragically claimed the lives of 346 people.
This plea deal allows Boeing to sidestep a potentially explosive criminal trial while agreeing to a hefty fine of $243.6 million, bringing the total penalty to $487.2 million.
The Gateway Pundit previously reported that the Biden Gestapo Department of Justice (DOJ) is reportedly considering letting Boeing off the hook for its alleged criminal violations related to the fatal crashes in 2018 and 2019. This comes despite U.S. prosecutors’ recommendations that criminal charges be brought against the planemaker for violating a settlement agreement.
However, senior department officials appear to have already concluded that prosecuting the company would be too “legally risky.”
“Officials see the appointment of an independent watchdog as a quicker, more efficient way to ensure that the troubled company improves safety, manufacturing and quality control procedures,” the Times reported.
Boeing was previously shielded from a criminal charge of conspiracy to commit fraud arising from the fatal crashes under a 2021 agreement. The agreement stipulated that Boeing had to overhaul its compliance practices and submit regular reports.
In return, the DOJ agreed not to prosecute Boeing over allegations that it defrauded the Federal Aviation Administration (FAA).
However, this agreement was allegedly breached by Boeing, which failed to “design, implement, and enforce a compliance and ethics program” to prevent violations of U.S. fraud laws. Despite this, the Biden regime’s DOJ is considering offering another deferred prosecution agreement to Boeing.
Boeing reached a new plea deal late Sunday night to settle a the US criminal investigation into two fatal 737 MAX crashes, allowing it to avoid a potentially lengthy and costly criminal trial.
“The United States of America (the “Government”) respectfully submits this status report to inform the Court that the Government and The Boeing Company (“Boeing”) have reached an agreement in principle on the terms of a proposed plea agreement,” according to the DOJ filing.
This agreement includes a fine of $243.6 million, which will be credited against a previous payment under a Deferred Prosecution Agreement (DPA), effectively requiring Boeing to pay an additional $243.6 million.
The crashes of Lion Air Flight 610 in October 2018 and Ethiopian Airlines Flight 302 in March 2019 exposed severe flaws in the design and certification of the 737 MAX’s Maneuvering Characteristics Augmentation System (MCAS).
These flaws were linked to Boeing’s alleged misstatements to the Federal Aviation Administration (FAA), misleading regulators about the safety of the aircraft, according to the DOJ filing.
As part of the plea agreement, Boeing will be held accountable for its fraudulent activities by agreeing to:
- Guilty Plea: Boeing will plead guilty to conspiracy to defraud the United States.
- Criminal Fine: The company will pay a statutory maximum fine of $243.6 million, double its pecuniary gain from the offense. This fine is in addition to the same amount already paid under the previous DPA, bringing the total penalty to $487.2 million.
- Probation and Compliance Measures: Boeing will be subject to probation, including the appointment of an independent compliance monitor for three years, to ensure adherence to rigorous safety and compliance standards. The company must invest at least $455 million in its compliance and safety programs over this period.
- Restitution: The plea agreement allows the court to determine restitution for the victims’ families at its discretion. However, it does not include restitution for Boeing’s airline customers who purchased the 737 MAX.
The proposed plea agreement is expected to be filed with the court by July 19, 2024. Meanwhile, the DOJ will confer with Boeing and the families’ legal representatives to finalize a briefing schedule and address any pending motions, including the reconsideration of Boeing’s pretrial conditions of release.
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