Proactive Investors - Boeing Co (NYSE:BA) is facing possible criminal charges after claims from the Department of Justice that the jet maker violated a settlement agreement related to two fatal crashes involving its 737 Max aircraft, which resulted in the deaths of 346 people.
The DoJ has until July 7 to decide whether to prosecute the company, while Boeing has denied any wrongdoing.
Talking to the BBC, Ed Pierson, a former senior manager at Boeing, emphasized the significance of the upcoming decision. "This is a really critical decision that is coming up,” he said.
“There are issues with these aeroplanes. We’re seeing problems with these planes and I’m talking about 737 Max, 787 and it is reflective of the leadership."
Boeing's problems started with two fatal crashes of 737 Max aircraft in 2018 and 2019.
In 2021, Boeing agreed to a $2.50 billion settlement under a deferred prosecution agreement, which included stipulations for compliance and ethics programs to prevent future violations.
However, last month, the DoJ stated that Boeing had failed to meet these requirements.
Last week, relatives of the victims urged prosecutors to seek a $25 billion fine against Boeing and to pursue a criminal prosecution.