Update: An earlier version of this headline incorrectly named the wrong Boeing model; Jalopnik regrets the error, which has been amended.
Considering corporations can’t serve sentences in a federal penitentiary, Boeing got off lightly when the planemaker pleaded guilty last year to a criminal fraud conspiracy charge connected to the two fatal 737 Max crashes. However, the sweetheart plea deal collapsed on Monday during renewed negotiations. The next day, a federal judge set the trial date for June 23. The court has seemingly reneged on an April 11 deadline previously given to the aerospace giant to reach a deal.
Here’s a quick refresher to remind you why Boeing willingly accepted to become a convicted felon. The MCAS flight control feature equipped on the 737 Max was primarily blamed for the two crashes that killed 346 people in 2018 and 2019. The planemaker admitted to misleading regulators about the 737 Max’s MCAS and the training needed to fly the aircraft equipped with the system.
Boeing reached a $2.5 billion settlement with the Department of Justice in 2021. The company was shielded from prosecution as long as it abided by the deal’s terms. However, the Department Of Justice decided that Boeing violated the deal when systemic quality control issues were exposed after a door plug blew out on an Alaska Airlines 737 Max last year. Boeing decided to avoid an embarrassing and potentially damaging trial by pleading guilty.
Boeing may have messed with the wrong judge
Judge Reed O’Connor struck down Boeing’s plea deal in December, citing its diversity and inclusion provision. The planemaker was given an ultimatum: reach a new deal with the DOJ by April 11 or face trial. Boeing withdrew its guilty plea on Monday while stating it was still engaged in good-faith discussions for a resolution. According to Reuters, it’s not clear why O’Connor immediately set a June 23 court date instead of waiting for the deadline to pass. However, the judge has made it blatantly clear that he takes these charges seriously. O’Conner said in 2023, “Boeing’s crime may properly be considered the deadliest corporate crime in U.S. history.”
Boeing’s initial plea deal featured a $243.6 million fine and a $455 million investment into its compliance, quality, and safety programs. The cherry on top of the sweetheart agreement was that Boeing received the right to veto the federal government’s choices for an independent compliance monitor. As a point of comparison, the crash victims’ families wanted Boeing to face trial or pay an unprecedented $25 billion fine. They will now get that trial.
