Boeing faces fresh criminal charges.

Jun 24, 2024 - 13:06
Boeing faces fresh criminal charges.

US prosecutors have suggested that the Department of Justice (DoJ) file criminal charges against Boeing. It follows the Department of Justice's assertion that the plane maker violated a settlement relating to two tragic incidents involving its 737 Max aircraft, which killed 346 people. 

When contacted by the BBC, Boeing declined to comment, although had previously denied breaking the deferred prosecution agreement. The Department of Justice has until July 7 to make a final decision on whether to prosecute the corporation. The Department of Justice has been contacted for comment. The advice is not a final judgment, and the specifics of any prospective criminal action are unknown, according to CBS, the BBC's American partner. "This is a really critical decision that is coming up," stated Ed Pierson,who is the executive director of the Foundation for Aviation Safety and a former senior manager at Boeing. He told the BBC's Radio 4 Today programme: "There are issues with these aeroplanes. We’re seeing problems with these planes and I’m talking about 737 Max, 787 and it is reflective of the leadership.

The plane crashes, both involving Boeing's 737 Max aircraft, happened within six months of one other. Indonesia's Lion Air crashed in October 2018, followed by an Ethiopian Airlines flight in March 2019. Last Monday, family of the victims urged prosecutors to seek a $25 billion (£14.6 billion) fine from Boeing as well as criminal charges.

 In a deal made in 2021, Boeing agreed to pay a $2.5 billion settlement, and prosecutors promised to seek the court to remove a criminal case after three years if the firm followed certain requirements in the deferred prosecution agreement. However, this month, the DoJ stated Boeing was in breach of the agreement, noting that it had failed to "create, execute, and enforce a compliance and ethics program to prevent and detect violations of US fraud laws across all businesses."

Boeing's outgoing chief executive, David Calhoun claimed that the corporation had "learned" from previous failures and that the mechanism for staff whistleblowers "works" - but lawmakers accused him of not doing enough to address a culture of retaliation.

As part of an ongoing inquiry, Boeing whistleblowers informed the Senate in April that the 737 Max, 787 Dreamliner, and 777 planes had major production difficulties. The company most recently made headlines after a door panel came off a new 737 Max plane during an Alaska Airlines flight in January, creating a gaping hole.

Mr Calhoun will stand down as CEO at the end of 2024, following less than five years in the post and a $33 million salary deal. He will remain on Boeing board. He took over the job from Dennis Muilenburg who was fired after the two crashes.