Senators Criticize DOJ’s Boeing Plea Deal

By David Shepardson
WASHINGTON (Reuters) – Two U.S. senators criticized the Justice Department’s plea deal with Boeing (NYSE:BA) struck in July, urging action against executives responsible for safety failures, as detailed in a letter obtained by Reuters.

Democratic Senators Elizabeth Warren and Richard Blumenthal sent a letter to the DOJ, stating the government had not held Boeing accountable for recent safety issues.

“It is past time for DOJ to take action against corporate executives at Boeing who are responsible for putting passengers and workers at risk in violation of federal laws and regulations,” the letter stated.

Boeing declined to comment, and the Justice Department confirmed receipt of the letter but also declined to comment.

In July, Boeing agreed to a plea deal with the DOJ, pleading guilty to conspiring to defraud the Federal Aviation Administration (FAA) and agreeing to pay up to $487 million after breaching a 2021 deferred prosecution agreement. The deal includes three years of oversight from an independent monitor.

The DOJ indicated that Boeing allowed risky work at its factories and failed to ensure crucial airplane recordkeeping was accurate or complete.

“For too long, corporate executives have routinely escaped prosecution for criminal misconduct,” the senators wrote. “This coddling comes at the expense of customer and worker safety, and it must end. We therefore urge you to carefully review the behavior and potential culpability of Boeing’s executives.”

Last week, U.S. District Judge Reed O’Connor announced a hearing on Oct. 11 to consider objections from relatives of the 346 victims of the two Boeing 737 MAX crashes.

The senators expressed concern that “the combination of a relatively small fine coupled with a toothless commitment to improve aircraft safety has proven insufficient to effect real change at the company.”

They added that multiple safety failures have occurred since the fatal 737 MAX crashes, raising alarms about Boeing’s culture prioritizing production speed over passenger safety.

In 2021, Boeing’s former chief technical pilot was charged with misleading the FAA about a vital flight control system for the 737 MAX but was found not guilty in 2022.

Recently, FAA Administrator Mike Whitaker informed Congress that his agency would rapidly notify the DOJ of any criminal activities.

The Justice Department stated in August that it urged O’Connor to accept the deal, asserting that it “is a strong and significant resolution that holds Boeing accountable and serves the public interest.”