Boeing Pleads Guilty To Criminal Fraud Charge In 2 Deadly 737 Max Crashes; Will Pay Fine Of $243.6 Million

Boeing has decided to plead guilty to a criminal fraud charge related to the two deadly crashes of 737 Max jetliners. These two horrifying crashes resulted in the deaths of 346 people. As per reports, Boeing will have to pay a fine of $243.6 million and will be required to invest at least $455 million in its compliance and safety programs. Read on to know more.

Boeing Pleads Guilty In 2 Deadly 737 Max Crashes

Boeing has pleaded guilty to a criminal fraud charge related to two 737 Max jetliner crashes. According to a report in the Hindustan Times, this move comes after the US Justice Department stated that the company violated an agreement protecting it from prosecution for over three years. The company will file the guilty plea in US District Court in Texas.

As per the report, the company was given a choice by federal prosecutors to either plead guilty and pay a fine or face trial on the felony criminal charge. So, to evade the trial, Boeing decided to plead guilty to the two 737 Max jetliner crashes that resulted in the deaths of 346 people. While talking to ABC News, a Boeing spokesman confirmed the news.

According to the plea agreement, Boeing will have to invest at least $455 million in its compliance and safety programs. Furthermore, they will have to pay an additional $243.6 million in fines.

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Everything You Need To Know About The Agreement Plea

As mentioned, as part of the plea deal, Boeing will invest at least $455 million in compliance and safety initiatives. The Financial Express reported that a third-party observer will be assigned to oversee Boeing’s safety and quality procedures for the next three years. Also, the plea agreement will only protect the company against misconduct that occurred before the crashes. Therefore, it does not cover any current or other incidents by the company. They will have to pay an additional $243.6 million in penalty. The US Justice Department is expected to file the written plea agreement with the court by July 19.

Do you feel this plea agreement is enough or some stricter actions should have been taken against Boeing for the deadly crashes? Let us know in the comments.

Cover Image Courtesy: website/The Boeing Company