U.S. fines Boeing $2.5 billion for 737 Max crashes-related fraud charges


Department of Justice condemns airliner ‘fraudulent and misleading conduct’ grounded after crashes kill hundreds

Boeing was fined 2.5 billion dollars by the U.S. Department of Justice after being charged in connection with two fatal crashes of the 737 Max airliner with fraud and conspiracy. “Biden condemns “domestic terrorists” at Capitol as Pelosi calls for Trump’s impeachment – liveRead moreBoeing staff chose from the Federal Aviation Administration (FAA), the top U.S. aviation agency, David Burns, deputy attorney general for the Criminal Division of the Justice Department, in a statement “the path of benefit over candor by concealing material facts. The corporation also “engaged in an attempt to cover up its deception,” Burns said. “In March 2019, Max was globally grounded after crashes in Indonesia and Ethiopia that killed 346 people.”

A Congressional investigation in March 2020 found that Boeing fostered a “culture of cover-up” and was “grossly inefficient” in its oversight of the production of the Max.

“Senator Richard Blumenthal accused Boeing of selling “flying coffins” at a tense congressional hearing in October 2019 because the corporation concealed concerns with the pilots’ aircraft. “The tragic crashes of Lion Air Flight 610 and Ethiopian Airlines Flight 302 have exposed fraudulent and misleading behavior by employees of one of the world’s leading commercial aircraft manufacturers,” Burns said. Boeing confirmed that two of its technical pilots misled regulators about the safety of the Max MCAS stall security program, which was involved in both fatal crashes.

In both situations, when the pilots were unable to regain control after transitioning into a dive, the planes crashed shortly after takeoff. The settlement provides $2.2 billion in compensation for the families of the individuals killed in the two Max accidents and a fine of $243 million. Boeing again blamed its former workers in a statement. The settlement is focused on the actions of two former Boeing employees and their deliberate failure, according to the firm, to notify the FAA Aircraft Assessment Group (AEG), the FAA group responsible for making pilot training decisions, of modifications to the Maneuvering Characteristics Augmentation System (MCAS). I strongly believe that passing this resolution is the right thing for us to do – a move that adequately acknowledges how we have fallen short of our values and expectations,”I strongly believe that passing this resolution is the right thing for us to do – a step that appropriately recognizes how we have fallen short of our values and expectations. “This resolution is a serious reminder to all of us of the importance of our dedication to regulatory accountability, and the implications that our business will have. The deal was refused by attorneys for the families killed in the Ethiopian Airlines crash and they said they would continue their Boeing lawsuit. The charges in the deferred prosecution agreement are just the tip of Boeing’s iceberg of fraud, a corporation that paid billions of dollars to escape criminal responsibility while stonewalling and battling the families in court.


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