Boeing to Plead Guilty in Criminal Fraud Case Linked to 737 MAX Crashes

Boeing has agreed to plead guilty to a criminal fraud conspiracy charge and pay a $243.6 million fine after violating a 2021 deferred prosecution agreement. The case revolves around false representations made about key software for the 737 MAX. Families of crash victims will have a chance to object to the deal.

Boeing has accepted responsibility, agreeing to plead guilty to a criminal fraud conspiracy charge and pay a fine of $243.6 million. This decision follows their breach of a 2021 deferred prosecution agreement for misleading the Federal Aviation Administration about crucial 737 MAX software.

Judge Reed O'Connor will soon hear objections from the families of 346 individuals who perished in the 2018 and 2019 737 MAX crashes before deciding on the deal's approval and potential restitution. Boeing committed to transparency with regulators as it enhances safety, quality, and compliance measures.

Per the agreement, Boeing will invest at least $455 million over three years in safety and compliance programs. The company will also meet with relatives of the crash victims within four months post-sentencing. An independent monitor will oversee Boeing's compliance, issuing annual public reports. Boeing faces a three-year probation, extendable by one year if necessary.

(With inputs from agencies.)