The Justice Department announced on Sunday night that Boeing had entered a guilty plea to a criminal fraud charge related to the two 737 Max jetliners crashes that claimed 346 lives.
The government had concluded that Boeing had broken an agreement that shielded the company from prosecution for more than three years.
Boeing's options
Boeing was given the option by federal prosecutors last week to either face a trial on the felony criminal charge of conspiracy to defraud the United States or enter a guilty plea and pay a fine as part of its sentence.
Attorneys for the prosecution accused the massive American aerospace company of misleading authorities who authorized the aircraft and its pilot-training specifications.
Judge's approval for the new plea
In order for the plea agreement to go into effect, a federal judge's approval is still required. Boeing is required to pay an additional USD 243.6 million fine.The Justice Department claimed that the business had broken the terms of the 2021 settlement, but Boeing paid the amount as required.
For a period of three years, Boeing's safety and quality protocols would be supervised by an impartial observer. Boeing's compliance and safety programs must receive at least USD 455 million in funding as part of the agreement.
Plea applies to 737 max aircraft crash
The plea agreement only addresses Boeing's prior misconduct, which resulted in the deaths of all 346 occupants of the two new Max aircraft as well as their crew. As per an official from the Justice Department, Boeing is not granted immunity for any other incidents, such as the panel that blew off a Max jetliner during an Alaska Airlines flight in January.
Crashes in controversy
The October 2018 crashes in Indonesia and Ethiopia less than five months later were linked to a flight-control system that federal prosecutors claimed Boeing had misled regulators about. This was part of a conspiracy to defraud the government, according to federal prosecutors.
