A federal judge in Texas has granted the US government’s request to dismiss a conspiracy charge against Boeing over the two fatal 737 MAX crashes that killed 346 people. The court ruling, issued by Judge Reed O’Connor, means that Boeing avoids the severe consequences of a felony conviction that could have barred the company from government contracts. In exchange for dismissing the charge, Boeing will pay approximately $1.1 billion in fines, compensation for victims’ families, and investments in safety improvements.
The decision has drawn strong criticism from victims’ families and human rights advocates, who argue that the settlement does not hold Boeing fully accountable for the lives lost in the 2018 Lion Air Flight 610 and 2019 Ethiopian Airlines Flight 302 crashes. The crashes were directly linked to the 737 MAX’s faulty MCAS flight control system, which Boeing had allegedly misled regulators about during the certification process. The judge expressed concern over the lack of a provision in the agreement that would subject Boeing to independent monitoring, raising questions about the long-term effectiveness of the resolution.
This legal dispute is part of a broader pattern of accountability issues involving Boeing. In 2021, the company had already entered a deferred prosecution agreement (DPA) with the Department of Justice (DOJ), which required it to pay criminal penalties and implement compliance reforms. However, the DOJ later found that Boeing had violated the terms of the DPA by failing to establish a robust compliance and ethics program. The ongoing legal battles reflect the extensive scrutiny Boeing has faced since the 737 MAX grounding, which led to a 20-month halt in operations and widespread public outrage over the company’s handling of the crisis.
Despite the financial settlements, the company’s reputation remains tarnished. Victims’ families have continued to push for full accountability, with their attorney vowing to appeal the latest judicial decision. Meanwhile, Boeing and the DOJ maintain that the financial settlement and promised reforms serve the public interest and bring closure to a case that would have otherwise remained unresolved under the uncertainty of a potential criminal prosecution.