Boeing has agreed to plead guilty to a criminal fraud conspiracy charge related to the fatal crashes of its 737 Max aircraft in 2018 and 2019, which resulted in the deaths of 346 people. The plea deal allows Boeing to avoid a criminal trial, which could have further damaged its reputation.
As part of the settlement, Boeing will pay USD 487.2 million in fines and is required to invest at least USD 455 million to enhance safety measures. This agreement comes after the US government found that Boeing violated a previous agreement intended to implement reforms following the crashes.
The crashes, one in Indonesia in October 2018 and another in Ethiopia in March 2019, led to the global grounding, following the second accident, of the 737 Max for more than a year. Investigations revealed flaws in the aircraft’s design and Boeing’s failure to properly inform and train pilots on the new system, which contributed to the accidents.
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