The Justice Department is currently considering whether to prosecute airplane manufacturer Boeing for allegedly violating the terms of a 2021 deferred prosecution agreement. The agreement, reached following two crashes of 737 Max jets that resulted in 346 fatalities, required Boeing to pay a $2.5 billion settlement and adhere to certain custodial conditions in exchange for the dismissal of a fraud conspiracy charge after three years. However, federal prosecutors claimed that Boeing had breached its obligations under the agreement by failing to implement a compliance and ethics program to prevent and detect fraud violations. As a result, Boeing could face prosecution for federal criminal violations.
The letter from federal prosecutors stated that investigators are no longer bound by the 2021 agreement and are free to conduct a probe into Boeing’s actions. Boeing has until June 13 to respond to the allegations, and their explanation will be considered as prosecutors decide on their next steps. This development comes after the cabin door of an Alaska Airlines plane blew off mid-flight, prompting congressional and federal investigations. The incident raised concerns about potential violations that could affect the deferred prosecution agreement.
A Boeing spokesperson provided a statement acknowledging receipt of the letter and asserting that the company believes it has complied with the terms of the agreement. The company looks forward to the opportunity to respond to the Justice Department’s allegations and engage with transparency throughout the process. The letter did not mention the Alaska Airlines incident, but a former quality manager who blew the whistle on a Boeing supplier revealed concerns about inspecting the same aircraft door panel involved in the incident.
Families of the victims of the 737 Max crashes have been updated on the case against Boeing, with prosecutors informing the judge that they will continue to confer with the families of those affected. Attorneys representing the families expressed cautious optimism about the progress made but emphasized the need for further action to hold Boeing accountable for its actions. They plan to outline their expectations for a satisfactory remedy to address Boeing’s criminal conduct during upcoming meetings with the Justice Department.
The Justice Department declined to provide further comment on the matter. The investigation into Boeing’s compliance with the deferred prosecution agreement remains ongoing, with potential legal consequences for the company depending on the outcome of the review. The families of the crash victims continue to seek answers and accountability for the tragedies that occurred due to the 737 Max crashes.