U.S. prosecutors are recommending criminal charges against Boeing for violating a settlement related to two fatal crashes involving the 737 MAX jet. The Justice Department must decide by July 7 whether to prosecute Boeing, as officials found the company breached a 2021 agreement that shielded it from a criminal charge of conspiracy to commit fraud.
Under the deal, Boeing agreed to overhaul its compliance practices, pay $2.5 billion, and submit regular reports. The recommendation for charges has not been previously reported, and Boeing has disagreed with the violation determination.
The potential resolution to the investigation is still under discussion, and there is no guarantee of charges. Criminal charges could deepen Boeing’s crisis, especially after a recent incident involving one of its jets operated by Alaska Airlines.
Instead of prosecuting, the DOJ could extend the settlement or propose stricter terms. Boeing may be open to penalties and monitoring but is hesitant about pleading guilty due to potential business restrictions. Families of crash victims have criticized the 2021 agreement and pushed for a larger fine and criminal prosecution.