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Justice Department Seeks Dismissal of Boeing’s 737 MAX Fraud Case After $1.1 Billion Settlement

The settlement spares Boeing a felony conviction through a US$1.1 billion agreement funding compensation for crash victims

FILE - The Boeing logo is displayed at the company's factory, Sept. 24, 2024, in Renton, Wash. (AP Photo/Lindsey Wasson, File)
The Boeing 737 MAX aircraft is displayed at the Farnborough International Airshow, in Farnborough, Britain, July 20, 2022.  REUTERS/Peter Cziborra/File Photo
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Overview

  • The settlement includes a US$243.6 million criminal fine and US$444.5 million for a fund benefiting families of the 346 people killed in the 2018 and 2019 crashes.
  • The deal requires Boeing to spend more than US$455 million on enhancing safety, compliance, and quality assurance programs under Justice Department oversight.
  • Under the agreement, Boeing avoids a felony conviction despite having offered to plead guilty to fraud last year.
  • Some victims’ relatives and safety advocates have denounced the arrangement as insufficient, arguing it stops short of the tougher criminal penalties they sought.
  • Justice Department officials said the agreement delivers public benefits and closes a complex case that risked years of drawn-out litigation.