The U.S. Department of Justice plans to propose that Boeing plead guilty to fraud charges related to two fatal crashes involving its 737 Max jetliners, according to two people who heard federal prosecutors detail the proposal on Sunday.
Boeing has until the end of next week to decide whether to accept or reject the proposal, which includes the aerospace giant agreeing to install an independent monitor to oversee compliance with anti-fraud laws, the people said.
The Justice Department told families of some of the 346 people who died in the crashes in 2018 and 2019 about the plea offer in a video conference, according to Mark Lindquist, one of the lawyers representing the families suing Boeing, and another person who listened to the call with prosecutors.
During the meeting, family members expressed anger that prosecutors are trying to give Boeing a chance to plead guilty to the three-year-old charges rather than moving forward with additional indictments and a trial.
One person said prosecutors were gaslighting the families, while another yelled at them for several minutes after being given a chance to speak.
“We’re outraged. They should just prosecute,” said Nadia Milleron, a Massachusetts resident whose 24-year-old daughter, Samya Stumo, was killed in the second of two 737 Max crashes. “They’re saying we can argue with the judge.”
Prosecutors have reportedly told the families that the Department of Justice will seek trial in the case if Boeing rejects the plea deal.
Boeing declined to comment.
The meeting came weeks after prosecutors reported in federal court that the American aerospace giant had violated a January 2021 agreement that shielded Boeing from criminal prosecution in connection with the crashes in Indonesia and Ethiopia.
Some legal experts say a guilty verdict could jeopardize Boeing’s status as a federal contractor.
The company has major contracts with the Department of Defense and NASA.
