US wants Boeing to plead guilty to fraud

It has faced continuous scrutiny and setbacks and things are about to get a whole lot worse for the embattled company.

The US Justice Department plans to propose that Boeing plead guilty to fraud in connection with two deadly plane crashes involving its 737 Max jetliners, according to two people who heard federal prosecutors detail the offer.

Boeing will have until the end of the coming week to accept or reject the offer, which includes the giant aerospace company agreeing to an independent monitor who would oversee its compliance with anti-fraud laws, they said.

Boeing president and outgoing CEO Dave Calhoun leaves after testifying during a US senate hearing to examine ‘Boeing's broken safety culture’ on June 18. Picture: Samuel Corum / AFP

The Justice Department told relatives of some of the 346 people who died in the 2018 and 2019 crashes about the plea offer during a video meeting, according to Mark Lindquist, one of the lawyers representing families who are suing Boeing, and another person who heard the call with prosecutors.

Senator Josh Hawley lashed at the CEO over the company’s poor work culture and serious production issues. Picture: 60 Minutes

During the meeting, family members expressed anger that prosecutors wanted to offer Boeing a chance to plead guilty to a three-year-old charge instead of pursuing additional charges and a trial.

One said the prosecutors were gaslighting the families; another shouted at them for several minutes when given a chance to speak.

Lion Air investigators examine part of the landing gear of the ill-fated Lion Air flight JT 610 at the port in northern Jakarta. All 189 passengers died. Picture: Azwar Ipank / AFP

Debris lays piled up during the recovery efforts at the crash site of Ethiopian Airlines flight ET302 on March 11, 2019 in Bishoftu, Ethiopia. It was just six minutes into its flight to Nairobi, Kenya when it crashed, killing all 157 passengers and crew on board on March 10. Picture: Jemal Countess/Getty Images

“We are upset. They should just prosecute,” said Massachusetts resident Nadia Milleron, whose 24-year-old daughter, Samya Stumo, died in the second of two 737 Max crashes. “They are saying we can argue to the judge.”

Clariss Moore of Toronto, Canada, holds a photo of her daughter Danielle Moore and stands with other family members of those killed in the Ethiopian Airlines flight and Lion Air Flight at the senate inquiry on June 18. Picture: Andrew Harnik / Getty Images

Prosecutors told the families that if Boeing rejects the plea offer, the Justice Department would seek a trial in the matter, they said.

Boeing declined to comment. The meeting came weeks after prosecutors told a federal judge that the American aerospace giant breached a January 2021 deal that had protected Boeing from criminal prosecution in connection with the crashes in Indonesia and in Ethiopia.

A conviction could jeopardise Boeing’s status as a federal contractor, according to some legal experts. The company has large contracts with the Pentagon and NASA.

This article originally appeared on the New York Post and was reproduced with permission