UNITED STATES NEWS

Prosecutors file Boeing’s plea deal to resolve felony fraud charge tied to 737 Max crashes

Jul 24, 2024, 4:03 PM | Updated: 7:12 pm

FILE - A Boeing 737 Max jet, piloted by Federal Aviation Administration (FAA) chief Steve Dickson, ...

FILE - A Boeing 737 Max jet, piloted by Federal Aviation Administration (FAA) chief Steve Dickson, prepares to land at Boeing Field following a test flight on Sept. 30, 2020 in Seattle. On Sunday, July 7, 2024, the Justice Department said Boeing has agreed to plead guilty to a criminal fraud charge stemming from two deadly crashes of 737 Max jetliners. (AP Photo/Elaine Thompson, File)
Credit: ASSOCIATED PRESS

(AP Photo/Elaine Thompson, File)

The Justice Department has filed an agreement in which Boeing will plead guilty to a fraud charge for misleading regulators who approved the 737 Max jetliner before two of the planes crashed, killing 346 people.

The detailed plea agreement was filed Wednesday in federal district court in Texas. The American aerospace company and the Justice Department reached a deal on the guilty plea and the agreement’s broad terms earlier this month.

U.S. District Judge Reed O’Connor can accept the agreement and the sentence worked out between Boeing and prosecutors, or he could reject it, which likely would lead to new negotiations between the company and the Justice Department.

The deal calls for the appointment of an independent compliance monitor, three years of probation and a $243.6 million fine. It also requires Boeing to invest at least $455 million “in its compliance, quality, and safety programs.”

O’Connor will give lawyers for the families seven days to file legal motions opposing the plea deal. Boeing and the Justice Department will have 14 days to respond, and the families will get five days to reply to the filings by the company and the government.

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Prosecutors file Boeing’s plea deal to resolve felony fraud charge tied to 737 Max crashes