Key Takeaways
- Boeing has reportedly reached a tentative deal with the Justice Department to avoid a guilty plea for violating a criminal settlement.
- The aircraft manufacturer had agreed to plead guilty to a fraud charge in July of last year amid investigations into the company’s safety and production practices.
- Granting Boeing a non-prosecution agreement represents a shift in approach by the DOJ under the Trump administration.
Boeing (BA) has reached a tentative deal with the Justice Department to avoid having to plead guilty for violating the terms of a criminal settlement connected to the 737 Max crashes in 2018 and 2019 that killed more than 300 people, according to a report.
Such a deal would involve the aircraft manufacturer signing a non-prosecution agreement with the DOJ in lieu of a guilty plea, The Wall Street Journal reported Friday. Boeing agreed in July to plead guilty to a charge of defrauding the federal government amid investigations into its safety and production practices after a plane’s door plug detached in midair.
A Boeing spokesperson did not immediately respond to a request for comment.
Granting Boeing a non-prosecution agreement represents a shift in approach by the DOJ under the Trump administration. According to the Journal, the DOJ told relatives of those killed in the Boeing crashes that the government could lose at trial, which would prevent the department from securing additional relief. Lawyers for the families are expected to formally object to the move, the report said.
Shares of Boeing edged lower in Friday trading. They rose almost 6% this week, lifted by optimism that the company could sell more planes to China amid easing trade tensions with that country.
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