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Boeing 737 Max Plea Agreement Under Scrutiny In Court

Chris Moore, parent of Danielle, one of the crash victims of a Boeing 737 MAX8 in Ethiopia, speaks during a news conference on Capitol Hill, June 18, 2024, in Washington. (AP Photo/Jose Luis Ma

Relatives of the victims of the Boeing 737 Max crashes are seeking to challenge a plea agreement between Boeing and federal prosecutors. The agreement, reached in July, involves Boeing pleading guilty to a single felony count of conspiracy to commit fraud related to the approval process of the Max aircraft. Family members of the deceased passengers are dissatisfied with the deal, believing it to be lenient and inadequate in holding Boeing accountable for the tragic incidents.

Lawyers representing the families argue that a trial is necessary to ensure transparency and true accountability for Boeing's actions. The case is currently being heard in a federal court in Fort Worth, Texas, where both sides are presenting their arguments before U.S. District Judge Reed O'Connor.

The Justice Department defends the settlement, stating that the charge of conspiracy to defraud the government is the most serious offense that can be proven. Prosecutors maintain that they cannot directly link Boeing's actions to the crashes in Indonesia and Ethiopia.

Under the terms of the agreement, Boeing is required to pay a fine of at least $243.6 million, invest $455 million in compliance and safety programs, and be placed on probation for three years. The judge will ultimately decide whether to accept the guilty plea and approve the proposed sentence.

Meanwhile, Boeing is facing additional challenges, including labor disputes with factory workers and financial concerns. Talks with striking employees have stalled, leading to credit rating agency S&P Global Ratings placing Boeing on its credit watch list due to increased financial risks. Boeing has filed a complaint with the National Labor Relations Board against the union representing the workers, alleging unfair labor practices.

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