Fraud in the Sky: Learn About Boeing’s Guilty Plea

Boeing pleads guilty to fraud in a court filing by the Department of Justice. More correctly, Boeing faces a conspiracy charge to defraud the United States for their role in two recent Max 737 crashes. These crashes are responsible for hundreds of deaths. Unfortunately, they are just another recent smudge on Boeing’s safety record over the past few years. 

The charges arise from admissions made by the Boeing company. In statements, they admitted that workers deliberately hid safety issues that ultimately led to both crashes. 

Boeing will now pay $487 million in fines with their new agreement. Notably, this is a stark reduction from the original $24.8 billion. Furthermore, authorities will partition these fines for a variety of purposes. Specifically, they will allocate funds to victims’ families, the government, compliance programs, and safety programs

With this new deal, the company now has 47 billion dollars of long-term debt. Much of their existing debt originated from similar safety concerns, lawsuits, business losses, and share losses. Regardless, their reduction of billions of dollars in debt to millions certainly improves their future economic outlook. 

Boeing Pleads Guilty Following Two Major Crashes

Of Boeing’s many recent safety concerns and accidents, two plane crashes have been highly prolific. The first crash occurred on a Lion Air aircraft just off the coast of Indonesia in 2018. The pilots were reportedly struggling against automatic steering systems, ultimately leading to the aircraft plunging into the ocean. All 189 passengers lost their lives. 

The second crash occurred aboard an Ethiopian Airlines 737 aircraft in 2019. The crash happened in the same model as the Lion Air crash, bringing attention to their manufacturer, Boeing. Similarly to the Lion Air crash, all 157 people aboard passed away. 

Outrage From the Public 

The general public has heatedly reacted to these new changes. Most importantly, families of the victims of both incidents do not feel as though Boeing’s charges fit their crimes. Families have said that this plea deal will prevent anyone from speaking their piece in court. They argue that it denies the admittance of new evidence and minimizes their responsibility for the incidents. 

One aerospace engineer, Javier De Luis, lost his sister, Graziella, in the second crash. He commented on the incident, stating, “The penalties and conditions imposed on Boeing as a result of this plea deal are not substantively different than those that failed to change Boeing’s safety culture and that resulted in the Alaska Air door blowout…When the next crash happens, every DOJ official that signed off on this deal will be as responsible as the Boeing executives that refuse to put safety ahead of profits.”

In response to these concerns, the Justice Department continues to defend the plea deal. In recent statements, they claimed that this deal is the most severe one possible. Furthermore, they added that they made the deal with the general public’s interest in mind. Additionally, they argue that the agreement will force Boeing to increase its safety protocols and compliance budgets substantially. As a final note, they believe these measures will ensure greater accountability and safety in the future.

They also added that the deal has additions that exceed the original penalties. One such addition is the implementation of a government-appointed monitor that will be in place for three years. This monitor will oversee Boeing’s safety operations to ensure they comply with new laws and regulations. 

Other Boeing Safety Incidents 

Over the past few years, people have questioned Boeing’s safety procedures and accident prevention plans. Several whistleblowers have specifically brought attention to safety concerns in Boeing’s manufacturing.

Whistleblowers have explicitly claimed that Boeing has knowingly concealed issues within its manufacturing processes. People have linked these errors to many issues that put Boeing riders at risk. Court cases involving these whistleblowers have become increasingly popular due to a string of witness deaths.