A federal judge in Texas will hear arguments over Boeing’s plea deal in a 737 Max case

2024-12-24 09:11:59 source: category:Invest

FORT WORTH, Texas (AP) — A federal judge on Friday ordered a hearing next month over Boeing’s agreement to plead guilty to conspiracy in connection with the 737 Max jetliner, two of which crashed, killing 346 people.

Families of some of the passengers killed in the crashes object to the agreement. They want to put Boeing on trial, where it could face tougher punishment.

U.S. District Court Judge Reed O’Connor set a hearing for Oct. 11 in Fort Worth, Texas.

Boeing is accused of misleading regulators who approved minimal, computer-based training for Boeing 737 pilots before they could fly the Max. Boeing wanted to prevent regulators from requiring training in flight simulators, which would have raised the cost for airlines to operate the plane.

The Justice Department argued in court filings that conspiracy to defraud the government is the most serious charge it can prove. Prosecutors said they lack evidence to show that Boeing’s actions caused the crashes in 2018 in Indonesia and 2019 in Ethiopia.

Relatives of victims and their lawyers have called the settlement a sweetheart deal that fails to consider the loss of so many lives. Some of the lawyers have argued that the Justice Department treated Boeing gently because the company is a big government contractor.

The agreement calls for Boeing to pay a fine of at least $243.6 million, invest $455 million in compliance and safety programs, and be placed on probation for three years.

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