A federal judge on Tuesday suddenly set a June 23rd trial date in a Justice Department criminal fraud case against Boeing, arising from allegedly misrepresenting plane makers against U.S. regulators over a critical system on the 737 Max.
In July, Boeing agreed to plead guilty to criminal fraud conspiracy charges after two fatal 737 maximum crashes, and agreed to pay a fine of up to $487.2 million. US District Judge Reed O'Connor previously agreed to a new plea deal after giving Boeing and DOJ until April 11, rejecting his previous contract and taking responsibility for diversity and comprehensive provisions.
In 2023, O'Connor said in Fort Worth, Texas, “Boeing crimes could be considered the most fatal corporate crime in US history.”
Reported by the Wall Street Journal On Monday, Boeing is attempting to withdraw its existing plea agreement. O'Connor did not show why he set a trial date or why he retracted the previous April 11 deadline.
Boeing said Tuesday that the company and the Justice Department “continue to engage in a sincere discussion about proper resolution of this issue.”
The Department of Justice did not immediately comment.
Last year's Boeing plea agreement included spending $455 million to improve safety and compliance practices, as well as three years of court supervision probation and three years of independent monitor supervision.
The relatives of the two 737 Max Crashes victims who occurred in 2018 and 2019 and killed 346 people, calling the plea agreement “lovers” and failed to properly hold Boeing responsible for the death of a loved one.
Erin Applebaum, the lawyer representing the 34 families killed in the 2019 biggest Ethiopian Airlines crash, urged the Department of Justice to “stand on the right side of history, refuse to negotiate further judicial negotiations and move forward with full prosecution.”
She added: “Families deserve a day in court and should not waste this opportunity for justice.”
The accepted plea deal will brand Boeing a felon who was convicted of conspiring to fraud the Federal Aviation Administration over problematic software that affects the flight control system of planes that crashed during Max's certification.
In May, DOJ discovered it Boeing violated the 2021 agreement It protected it from prosecution against crash. Prosecutors then decided to file a criminal complaint for Boeing and negotiate the current plea deal.
The decision followed an in-flight blowout of the door panels of Alaska Airlines jets on January 5, 2024, which revealed ongoing safety and quality issues at Boeing.
Trump administration officials said regulators must keep Boeing strong after a string of mistakes.
“We need to make Boeing tougher, we need to be tougher in the industry,” said Steve Bradbury, who was confirmed as Associate Transportation Secretary this month.
