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

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Prosecutors file Boeing's plea deal to resolve felony fraud charge tied to 737 Max crashes
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The Justice Department submitted an agreement with Boeing on Wednesday in which the aerospace giant will plead guilty to a fraud charge for misleading U.S.

regulators who approved the 737 Max jetliner before two of the planes crashed, killing 346 people.

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. Boeing was accused of misleading the Federal Aviation Administration about aspects of the Max before the agency certified the plane for flight. Boeing did not tell airlines and pilots about the new software system, called MCAS, that could turn the plane’s nose down without input from pilots if a sensor detected that the plane might go into an aerodynamic stall.

In May of this year, prosecutors said Boeing failed to live up to terms of the 2021 agreement by failing to make promised changes to detect and prevent violations of federal anti-fraud laws. Boeing agreed this month to plead guilty to the felony fraud charge instead of enduring a potentially lengthy public trial.

That’s where the independent monitor will come in, “to reduce the risk of misconduct,” the plea deal states.

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