A U.S. judge in Texas has approved the Department of Justice’s (DOJ) request to dismiss a criminal case against Boeing, despite his personal reservations about the decision.
On Thursday, Judge Reed O’Connor of the U.S. District Court in Fort Worth dismissed the case, allowing the aerospace company to avoid prosecution over charges related to two fatal 737 MAX crashes: the 2018 Lion Air crash in Indonesia and the 2019 Ethiopian Airlines crash. O’Connor expressed disagreement with the DOJ’s argument that ending the case served the public interest, but noted he did not have the authority to override the decision.
The government contended that Boeing had made improvements and that the Federal Aviation Administration (FAA) was providing enhanced oversight. Both Boeing and the government maintained that O’Connor had no alternative but to dismiss the case. However, O’Connor stated that the agreement with Boeing “fails to secure the necessary accountability to ensure the safety of the flying public.”
In September, O’Connor conducted a three-hour hearing to evaluate objections to the deal. During this time, he questioned the government’s decision to remove a requirement that Boeing be subject to oversight by an independent monitor for three years, instead opting for the company to hire a compliance consultant.
O’Connor criticized the government’s position, stating that while Boeing had committed crimes justifying prosecution, it failed to address its fraudulent behavior during the deferred prosecution agreement. He noted that Boeing would now attempt to correct its issues by selecting its own consultant.
The DOJ initially criminally charged Boeing in January 2021, but later agreed to a deferred prosecution arrangement. The company was charged with one count of conspiracy to defraud the United States. Courts determined that Boeing had misled the FAA regarding its Maneuvering Characteristics Augmentation System (MCAS), which affects flight control systems on the aircraft.
Acting Assistant Attorney General David P. Burns of the DOJ’s criminal division stated at the time that “Boeing’s employees chose the path of profit over candor by concealing material information from the FAA concerning the operation of its 737 Max airplane and engaging in an effort to cover up their deception.”
In 2023, O’Connor described Boeing’s actions as “the deadliest corporate crime in U.S. history.”
Under the non-prosecution agreement, Boeing agreed to pay an additional $444.5 million into a victims’ fund, to be distributed evenly among the victims of the two crashes. This follows a $243.6 million fine and over $455 million allocated to strengthen the company’s compliance, safety, and quality programs.
On Wall Street, Boeing’s stock rose by 0.2 percent as of 11 a.m. in New York (16:00 GMT).
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