{"id":42886,"date":"2025-05-29T17:01:00","date_gmt":"2025-05-29T22:01:00","guid":{"rendered":"https:\/\/ustower.net\/?p=42886"},"modified":"2025-05-29T23:03:35","modified_gmt":"2025-05-30T04:03:35","slug":"us-asks-judge-to-dismiss-boeing-737-max-criminal-fraud-case","status":"publish","type":"post","link":"https:\/\/ustower.net\/?p=42886","title":{"rendered":"US asks judge to dismiss Boeing 737 MAX criminal fraud case"},"content":{"rendered":"\n<p class=\"has-medium-font-size\">WASHINGTON, May 29 (Reuters) &#8211; The U.S. Justice Department on Thursday asked a judge to dismiss a criminal fraud charge against Boeing&nbsp;<a href=\"https:\/\/www.reuters.com\/markets\/companies\/BA.N\"><u>(BA.N), opens new tab<\/u><\/a>&nbsp;stemming from two fatal 737 MAX plane crashes that killed 346 people, saying it had reached agreement with the planemaker.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">Under the deal, Boeing will avoid being branded a convicted felon, but it has agreed to pay an additional $444.5 million into a crash victims\u2019 fund that would be divided evenly per crash victim on top of an additional $243.6 million fine.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">Boeing, which last year had agreed to plead guilty as part of a deal, will pay $1.1 billion in total, including the fine and compensation to families and over $455 million to strengthen the company\u2019s compliance, safety, and quality programs, the Justice Department said.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">The agreement has been harshly criticized by many families who lost relatives in the crashes and had pressed prosecutors to take Boeing to trial. A&nbsp;<a href=\"https:\/\/www.reuters.com\/sustainability\/us-should-take-boeing-trial-737-max-fraud-case-lawyer-says-2025-05-22\/\"><u>lawyer for family members<\/u><\/a>&nbsp;and&nbsp;<a href=\"https:\/\/www.reuters.com\/sustainability\/society-equity\/us-senators-urge-doj-not-let-boeing-avoid-criminal-prosecution-2025-05-23\/\"><u>two U.S. senators<\/u><\/a>&nbsp;had urged the Justice Department not to abandon its prosecution and some lawyers have vowed to challenge the deal.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">The government said the deal &#8220;secures meaningful accountability, delivers substantial and immediate public benefits, and brings finality to a difficult and complex case whose outcome would otherwise be uncertain.&#8221;<\/p>\n\n\n\n<p class=\"has-medium-font-size\">Boeing CEO Kelly Ortberg signed the agreement on Thursday, finalizing a deal the Justice Department said last week it had struck in principle.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">The Justice Department said the vast majority of the families of the 346 people killed in the crashes have settled civil suits with Boeing and collectively they have been &#8220;paid several billion dollars.&#8221;<\/p>\n\n\n\n<p class=\"has-medium-font-size\">\u201cBoeing is committed to complying with its obligations under the resolution reached today, which include a substantial additional fine and commitments to further institutional improvements and investments,&#8221; the company said Thursday.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">Boeing will no longer face oversight by an independent monitor under the agreement, but will hire a compliance consultant. As a condition of the deal, Boeing&#8217;s board of directors will be required to meet with the families.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">Reuters&nbsp;<a href=\"https:\/\/www.reuters.com\/business\/autos-transportation\/boeing-near-deal-avoid-guilty-plea-prosecution-fatal-crashes-case-sources-say-2025-05-16\/\"><u>first reported on May 16 that Boeing<\/u><\/a>&nbsp;had reached a tentative nonprosecution agreement with the government.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">The agreement would forestall a&nbsp;<a href=\"https:\/\/www.reuters.com\/business\/aerospace-defense\/us-judge-sets-boeing-737-max-fraud-trial-june-23-2025-03-25\/\"><u>June 23 trial date<\/u><\/a>&nbsp;the planemaker faces on a charge it misled U.S. regulators about a crucial flight control system on the 737 MAX, its best-selling jet.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">Boeing in&nbsp;<a href=\"https:\/\/www.reuters.com\/legal\/us-finalizes-details-boeing-737-max-plea-deal-2024-07-24\/\"><u>July had agreed to plead guilty to a criminal<\/u><\/a>&nbsp;fraud conspiracy charge after the two fatal 737 MAX crashes in Indonesia and Ethiopia spanning 2018 and 2019.<\/p>\n\n\n\n<p class=\"has-medium-font-size\">In 2023, Judge Reed O&#8217;Connor in Texas said &#8220;Boeing&#8217;s&nbsp;<a href=\"https:\/\/www.reuters.com\/legal\/us-judge-rejects-family-members-bid-reopen-boeing-737-max-plea-deal-2023-02-10\/\"><u>crime may properly be considered the deadliest corporate crime<\/u><\/a>&nbsp;in U.S. history.&#8221;<\/p>\n\n\n\n<p class=\"has-medium-font-size\"><a href=\"https:\/\/www.reuters.com\/business\/autos-transportation\/us-asks-judge-dismiss-boeing-737-max-criminal-fraud-case-2025-05-29\/\">reuters<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>WASHINGTON, May 29 (Reuters) &#8211; The U.S. Justice Department on Thursday asked a judge to dismiss a criminal fraud charge against Boeing&nbsp;(BA.N), opens new tab&nbsp;stemming from two fatal 737 MAX plane crashes that killed 346 people, saying it had reached agreement with the planemaker. Under the deal, Boeing will avoid being branded a convicted felon, [&hellip;]<\/p>\n","protected":false},"author":6,"featured_media":42887,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1155],"tags":[27144,25864,33462,1700],"class_list":["post-42886","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-737-max","tag-boeing","tag-criminal-fraud-case","tag-judge"],"_links":{"self":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/42886","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=42886"}],"version-history":[{"count":1,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/42886\/revisions"}],"predecessor-version":[{"id":42888,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/42886\/revisions\/42888"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/media\/42887"}],"wp:attachment":[{"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=42886"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=42886"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=42886"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}