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Prosecutors Push for Criminal Charges Against Boeing in Settlement Breach

Prosecutors Push for Criminal Charges Against Boeing in Settlement Breach

US Justice Department is urged to prosecute Boeing for violating a settlement linked to fatal crashes.

Prosecutors in the United States are suggesting criminal charges against Boeing for breaching a settlement tied to two fatal crashes, according to sources familiar with the matter informed Reuters. The US Department of Justice (DOJ) has until July 7 to make a decision on whether to proceed with prosecuting Boeing. The recommendation from prosecutors overseeing the case has not been previously disclosed. In May, officials concluded that Boeing violated a 2021 agreement that had protected the company from a criminal charge involving fraud related to the 2018 and 2019 crashes of the 737 MAX jet. The agreement had stipulated that Boeing avoid a conspiracy to commit fraud charge if it revamped compliance practices and provided regular reports, along with paying a $2.5 billion settlement. Although Boeing has refrained from commenting, it previously claimed to have upheld the terms of the 2021 settlement, known as a deferred prosecution agreement. The company disagrees with the Justice Department's conclusion that it breached the settlement, as reported by Reuters. Conversations are ongoing between the two parties regarding a potential resolution to the Justice Department's investigation. There is uncertainty surrounding whether charges will be pursued or if the 2021 settlement will be extended with stricter conditions. Potential outcomes include financial penalties, third-party compliance monitoring, or corporate admission of wrongdoing through a guilty plea. Facing heightened scrutiny, Boeing could face criminal charges which might not be limited to the original 2021 fraud conspiracy. Alternatively, the DOJ could propose extending the 2021 settlement or introducing tougher terms. Despite being open to penalties and monitoring, Boeing fears the repercussions of a guilty plea on its government contracts, including those with the Department of Defense. Families of the 737 MAX crash victims have criticized the 2021 settlement, advocating for a hefty fine against Boeing and a criminal prosecution. CEO Dave Calhoun has admitted safety shortcomings and offered apologies to the bereaved families.
Source: ALJAZEERA
Source: ALJAZEERA

ALJAZEERA MEDIA NETWORK

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