Criminal Case Dismissed
A U.S. court has dismissed a criminal charge against Boeing, fulfilling a request from the U.S. government. Judge Reed O'Connor stated his disagreement with the public interest implications of the dismissal but concluded his concerns did not provide sufficient grounds to deny the request. This decision concludes a period of legal uncertainty for Boeing.
Opposition and DOJ Stance
The dismissal faced opposition from some families of crash victims, who had advocated for a trial to hold Boeing accountable. Paul Cassell, a lawyer representing some families, announced his intent to appeal the ruling. Judge O'Connor characterized the government's concerns regarding a trial as 'unserious' and expressed doubt that the agreement between the government and Boeing would achieve adequate accountability for public safety. However, he cited the presumption of governmental 'good faith' and his lack of authority to override the request.
The Department of Justice (DOJ) defended its agreement, stating it had engaged 'extensively' with crash victims' families, who presented 'a broad set of views regarding the resolution'. A DOJ spokesperson stated the agreement offers finality for victims and mandates immediate action from Boeing, asserting confidence in the resolution's justice. Boeing affirmed its commitment to the DOJ agreement and to ongoing efforts to strengthen its safety, quality, and compliance programs.
Background of the Case
This decision is part of a continuing legal process following two 737 Max accidents: one in late 2018 off Indonesia and another in early 2019 in Ethiopia, which resulted in 346 fatalities. The U.S. subsequently charged Boeing with criminal fraud conspiracy, alleging the concealment of critical flight control software information from regulators, which was implicated in the accidents.
Boeing admitted to the allegations, entering a 2021 agreement that included $2.5 billion in fines and compensation, alongside commitments to enhance safety standards and compliance programs. The case was re-opened in 2023 following an in-flight incident involving a 737 Max, leading the DOJ to accuse Boeing of breaching the original settlement terms. In 2024, the DOJ proposed a new agreement where Boeing would plead guilty to the fraud charge, pay an additional $243 million fine, and accept a court-appointed monitor for its operations. Judge O'Connor rejected this proposal in December, citing concerns over the monitor's selection process.