The Department of Justice (DOJ) has signaled the possibility of prosecuting Boeing for breaching a 2021 criminal settlement regarding the certification of the 737 MAX aircraft.
In a filing made in a US court in Texas on Tuesday, the DOJ’s determination follows a recent incident involving an Alaska Airlines flight in January, which made an emergency landing after a fuselage panel blew out.
US officials have granted Boeing until June 13 to provide input for consideration in deciding whether to pursue prosecution.
The 2021 settlement stemmed from a deferred prosecution agreement (DPA) in which Boeing agreed to pay $2.5 billion to settle fraud charges related to the certification of the 737 MAX, involved in two fatal crashes in 2018 and 2019.
In addition to financial penalties, the agreement mandated Boeing to enhance its compliance program, engage regularly with US anti-fraud authorities, and submit annual progress reports.
However, the DOJ’s letter to US Judge Reed O’Connor stated that Boeing “breached its obligations” under the DPA, citing several provisions, including the implementation of a compliance and ethics program and internal controls to detect and deter violations.
While the DOJ’s action did not directly reference the Alaska Airlines incident, it has triggered multiple governmental and regulatory investigations.
The FAA has also launched an investigation into whether jets delivered by Boeing met safety standards, with a 90-day deadline for Boeing to develop a comprehensive action plan to address quality control issues.
Family members of the 737 MAX crash victims have criticized the 2021 agreement as insufficient and called for the prosecution of Boeing executives, alongside the appointment of an independent monitor.
The DOJ’s move further intensifies pressure on Boeing, which has faced financial losses and production slowdowns due to quality control issues.
Senator Richard Blumenthal has condemned the previous settlement for not holding anyone accountable, emphasizing the importance of addressing Boeing’s corporate culture.
While the potential for criminal prosecution looms, legal experts suggest that economic considerations may deter such action, given the potential impact on Boeing’s operations and the broader aviation industry.
