Boeing Reaches Massive Settlement to Avoid Criminal Charges After Deadly Crashes

Author: Lily Varga
Published: 2025-05-24 at 20:05
Category: Business
Language: English
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Boeing has agreed to a $1.1 billion settlement to avoid criminal charges related to the 737 MAX crashes, with funds directed toward safety improvements and victim compensation.
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The U.S. Department of Justice has reached a preliminary settlement with Boeing in a fraud case stemming from two fatal crashes involving 737 MAX aircraft, which resulted in 346 deaths. The agreement, pending court approval, allows Boeing to avoid criminal prosecution.

Without the deal, the trial would have begun on June 23. Boeing was accused of misleading U.S. regulators about a critical flight control system in the 737 MAX. Two planes of this model crashed in 2018 and 2019 in Indonesia and Ethiopia.

Boeing will pay over $1.1 billion, including fines and compensation. $445 million will be allocated to improving the company's compliance, safety, and quality programs. The Justice Department stated, 'We believe this resolution is the most just outcome with practical benefits.'

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