The U.S. Justice Department has not yet decided whether to prosecute Boeing (NYSE:BA) for violating the terms of a 2021 settlement related to two fatal 737 MAX crashes in 2018 and 2019. Glenn Leon, head of the Justice Department’s fraud section, confirmed this in an email to lawyers representing the victims’ families, seen by Reuters on Friday.
Leon stated, “The department has not made a decision on how to proceed or whether to pursue prosecution of Boeing.” Both the Justice Department and Boeing declined to comment further.
In May, the Justice Department indicated that Boeing had violated the 2021 agreement, which protected the company from criminal prosecution over the crashes. This deferred prosecution agreement (DPA) required Boeing to overhaul its compliance practices. Boeing has asserted its compliance with the agreement.
Earlier reports by the New York Times suggested that the Justice Department might allow Boeing to avoid criminal prosecution for the alleged violations. Leon countered these reports, stating that they were “simply not correct.” The Times later adjusted its report to state that the Justice Department is “considering allowing” Boeing to avoid prosecution.
A spokeswoman for the New York Times defended the accuracy of their reporting even after the revision.
The 2021 DPA came after Boeing agreed to pay $2.5 billion to resolve a criminal investigation into its conduct surrounding the crashes, which killed 346 people. Recently, Boeing reiterated to the government that it did not violate the agreement. Federal prosecutors have until July 7 to decide whether to proceed with a criminal case, negotiate a plea deal, or extend the DPA for another year.
The Justice Department found Boeing in violation of the DPA after an incident involving an Alaska Airlines Boeing 737 MAX 9 jet on January 5, just two days before the DPA expired. This incident highlighted ongoing safety and quality issues at Boeing.
Families of the crash victims have long criticized the 2021 deal, arguing that it failed to hold Boeing accountable. This week, they urged prosecutors to impose a nearly $25 billion fine on Boeing and to pursue criminal prosecution.
Featured Image: Freepik
Author Stephanie Bédard-Châteauneuf 
