Boeing has agreed to a staggering $1.1 billion settlement to sidestep criminal prosecution tied to two catastrophic 737 Max crashes that claimed 346 lives in 2018 and 2019.
The deal, brokered with the U.S. Department of Justice, includes a $444.5 million payout to the families of the victims and an additional $455 million earmarked for enhancing the company’s internal safety, compliance, and quality systems.
As part of the agreement, Boeing will also pay a criminal fine of $487.2 million… with half already settled in 2021. “Boeing is fully committed to the obligations outlined in this resolution,” a company representative stated.
“This includes a significant new penalty and long-term improvements across our operations.” If approved by a federal judge, the deal will allow Boeing to avoid a fraud trial… a major legal bullet dodged for the aerospace titan.
The tragedy stems from two eerily similar crashes involving the 737 Max: October 2018: A Lion Air flight plunged into the Java Sea just 13 minutes after departing from Jakarta, killing all 189 passengers and crew. March 2019: An Ethiopian Airlines jet crashed six minutes after takeoff from Addis Ababa, leaving 157 dead.
Both crashes were linked to a faulty flight control system, now infamous for its role in the twin disasters. “We are deeply sorry for the pain suffered by the families,” Boeing said in a statement. “We remain devoted to honoring their memories by driving lasting change within our company.” The DOJ has yet to publicly comment on the resolution.
