Boeing Approves To Pay $ 2.5 Billion To Resolve Faa Fraud Charges On 737 Max

Boeing-Approves-To-Pay-$-2.5-Billion-To-Resolve-Faa-Fraud-Charges-On-737-Max

New York Boeing reached $ 2.5 billion with the Department of Justice on Thursday to plead guilty to criminal charges that the Federal Flight Administration company defrauded after just obtaining a license for the 737 Max. The plane was launched by the FAA in March 2019 after two major crashes that killed 346 people. The FAA confirmed that passengers were flying back in November after making several changes to unsafe road conditions that caused accidents, a move at the heart of this landing issue.

“The misinformation, half-truths, and misrepresentations passed by Boeing to the FAA prevented the government from ensuring passenger safety,” State’s Attorney Erin Neely Cox told northern Texas. The government file against the company stated that at least two Boeing employees, unknowingly, committed fraud from the end of 2016, in the final stages of approval of the aircraft, until the end of 2018, after the aircraft was in use and after the initial crash occurred. The position of the other employee in the filing is not specified. Boeing has agreed to work with each of the allegations arising out of this case.

The decision includes $ 243.6 million in criminal penalties, $ 1.77 billion in damages to the Boeing airline, and an additional $ 500 million in a fund to pay for family members of victims. Boeing has already set aside funds to pay the airline and $ 100 million for affected families. It said it would take an additional $ 743.6 million in revenue against revenues as a result of the decision. Under the negotiations, the Justice Department will postpone any Boeing criminal charges for three years and the charges will be dismissed if the company does not see any further damage. But some families of the victims stormed the venue as a “party on the wrist.” “This is a Boeing security agreement,” said Michael Stumo, the father of Samya Rose Stumo, who died in the second crash in March 2019.

He also said the families involved were urged by the Justice Department not to end up in a location with Boeing. . “Boeing perpetrators have been held accountable. The government continues to protect them even though their criminal activities are being taken into account. The total budget is just a financial crisis. It may be a reminder that the current management of Boeing and the FAA is not adequate to be responsible for people’s lives, “said Zipporah Kuria, a UK resident who lost his father in the second accident. Their priority is physical interest in people’s lives. “He said that the solution” does not even scratch the surface of justice. Boeing has already squandered $ 20.7 billion in costs as well as compensation for airlines, higher production costs, storage, and compensation of victims, even before these recent costs.

Lost revenue from delayed sales, delays, or reconfigurations could cost tens of billions more, experts say. That could make the debacle 737 Max one of the most expensive physical errors ever, in terms of both financial cost and lost life.

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