(Bloomberg) – The U.S. Department of Justice told a federal judge in Texas that it has not yet decided whether to sign an agreement with Boeing. The judge will drop criminal charges related to the two deadly 737 Max Max Calls, and federal prosecutors are giving victims another trade-off opportunity.
Government attorneys briefed the family on Friday a “possible framework” of a non-sentence agreement with Boeing, but said there was no exchange of draft agreements and filed a court document with U.S. District Judge Reed O’Connor, who has been overseeing long-term criminal proceedings for the 2018 and 2019 crashes, according to a court document filed with U.S. District Judge Reed O’Connor on Saturday.
The case is seen as the leader of how the Justice Department handles high-profile corporate prosecutions under President Donald Trump. Last year, under the Biden administration, Boeing agreed to plead guilty and fined, but the deal was scrapped by O’Connor, who opposed parts of the deal. Boeing and the Justice Department have been talking about a revised agreement.
Erin Applebaum, a partner at Kreindler & Kreindler, said family members made it clear that they would object to “any deal that allowed Boeing to evade responsibility”, which killed 346 people in the two crashes. “If they don’t try this case, there must be a plea agreement to plea.”
According to Saturday’s documents, the proposed framework for the non-procuratorial agreement discussed will include the maximum fine allowed by regulations, requiring Boeing to use it to improve its compliance, retain independent monitors and create another fund to compensate the household. If an agreement is reached, prosecutors will file a motion to dismiss the criminal case, which is scheduled for trial on June 23.
The Justice Department said it did not decide whether to sign a settlement agreement or continue the trial until after the end with the family. Prosecutors gave families who hoped for a trial in the Boeing case until May 22 to provide written statements.
The case is in the U.S. District Court for the Northern District of Texas (Fort Worth), U.S. v. Boeing v. Boeing.
– Assistance with Madlin Mekelburg.
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