Under the initial DPA, Boeing agreed to a $243.6 million criminal penalty, $1.77 billion in compensation to its airline customers, and $500 million for a crash victims’ fund to compensate families of the 346 people killed in the Lion Air Flight 610 and Ethiopian Airlines Flight 302 crashes. The 737 Max 8 jets were globally grounded from March 2019 to late 2020 following these accidents.
Boeing DOJ 737 Max Deal: Investigation and Safety Concerns
The 737 Max 8 jets were equipped with the Maneuvering Characteristics Augmentation System (MCAS), which was found to be vulnerable to faulty sensor readings that could inadvertently trigger the system, causing the plane to nosedive. Investigations revealed these vulnerabilities, prompting widespread safety concerns.
A Boeing spokesperson confirmed the agreement in principle with the DOJ and referred inquiries to the Justice Department for further details.
Legal and Public Response
The end of the DPA’s term earlier this year initiated a six-month evaluation period, during which the government could seek a Rule 48 dismissal of the conspiracy charge if Boeing complied with the agreement or pursue criminal prosecution. This period coincided with mounting pressure from families of the 737 Max 8 crash victims and a recent incident involving a 737 Max 9 jet.
