Boeing, the leading planemaker, is set to plead guilty to criminal fraud charges related to its 737 MAX planes, according to the US Justice Department. The guilty plea, making the company a felon, could jeopardize its ability to secure lucrative contracts with the US government.
Prosecutors accuse Boeing of deceiving regulators by providing false information on aircraft and pilot-training requirements for the MAX. The company will admit to misrepresenting a key software feature to the Federal Aviation Administration, related to the flight-control system implicated in two fatal crashes.
Reasons behind Boeing’s guilty plea
The decision to plead guilty will help Boeing avoid a potentially damaging trial and public scrutiny over its actions leading up to the crashes. It may also facilitate the firm’s planned acquisition of Spirit AeroSystems.
This story is developing, stay tuned for updates.