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   AVIATION      Aviation echo, airline-related news      717 messages   

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   Message 501 of 717   
   Aviation HQ to All   
   Boeing pleads guilty to fraud   
   08 Jul 24 14:01:56   
   
   MSGID: 2:292/854 1508400d   
   TZUTC: 0200                     
   Boeing will plead guilty to fraud surrounding a settlement that the American   
   aircraft manufacturer reached with the justice system in the United States.   
   The aircraft manufacturer admits to violating the terms of the settlement   
   surrounding two fatal crashes involving the troubled 737 MAX aircraft. The US   
   Department of Justice announced this.   
       
   Boeing and Justice already reached a settlement in 2021 regarding the two   
   fatal accidents from 2018 and 2019. But the Ministry of Justice concluded that   
   Boeing violated obligations under that agreement. As a result, the company   
   could still be prosecuted for the two crashes, in which 346 people died.   
       
   If the agreement is approved by a federal judge, the aircraft manufacturer   
   will officially be a convicted criminal. Boeing will also pay a fine of $243.6   
   million, a US Justice Department official said.   
       
   The guilty plea could potentially prevent lucrative government contracts with,   
   among others, the US Department of Defense and the space agency NASA. Yet   
   Boeing is avoiding a lengthy criminal trial that would reveal the company's   
   decisions surrounding the fatal plane crashes to the general public.   
       
   Boeing has been under scrutiny again since the beginning of this year after an   
   aircraft lost a door panel shortly after takeoff. There have also been defects   
   with his spaceship Starliner.   
       
   The fatal crashes took place in Ethiopia and Indonesia. A defect in sensors of   
   a safety system played a role in the crashes. Instead of protecting the   
   aircraft from a climb that is too steep, this so-called MCAS system kept   
   pushing the nose of the aircraft down.   
       
   Due to recent technical problems at Boeing, there has been a lot of unrest at   
   the top of the company. CEO Dave Calhoun will resign at the end of this year.   
   Other top executives have also resigned. Regulators are now paying much closer   
   attention to quality at Boeing.   
      
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