The Boeing Company namely Boeing finally agrees to pay a penalty of $2.5 Billion for a conspiracy to defraud the Federal Aviation Administration (FAA). After being allegedly in charge of two fatal crashes of its 737 Max Airliners, the Boeing was finally touching skies after 2 months.
In a release, the Acting assistant attorney general of the Justice Department Criminal, David Burns states that the employees of Boeing’s choose “the path of profit over candor by concealing material information” from the Federal Aviation Administration (FFA) which is the US’s top airline regulator.
Burns also added that The Boeing Company tried their best to blanket the scandal in their powers.
The company came into the spotlight after its two crashes of 2019 in Indonesia and Ethiopia where 346 people were killed. The accident brought a heated congressional meeting and the Boeing Max was grounded worldwide in March.
In the meeting, Senator Richard Blumenthal also arranged for Boeing to sell “flying coffins” triggered by the deception behavior of Boeing for their planes from pilots.
In a defense of the following accusations, Boeing accepted the fault and indicated that there were two employees responsible for the delusion. The employees are no longer part of the company.
In addition to the penalty, the stock market of the Company was seen decreasing 1% in the US Stock Market, on Thursday after the settlement was announced.
CEO David Calhoun noted in the press release “ I firmly believe that entering into this resolution is the right thing for us to do- a step that appropriately acknowledges how we fell short of our values and expectation”. “This resolution is a serious reminder to all of us how critical our obligation of transparency to regulators is, and the consequences that our company can face if any of us falls short of those expectations.”
The $2.2 Billion penalties are shared among the families of people killed in the Boeing 737 Max airliner. The lawyers representing the families of crash victims of 737 Max decides to abandon the compensation amount and continue their protest against Boeing.
In addition to dishonoring the compensation amount, the Clifford Law Offices also stated “ The allegations in the deferred persecution agreement are just the tip of the iceberg of Boeing’s wrongdoing- a corporation that pays billions of dollars to avoid criminal liability while stonewalling and fighting the families in court. This agreement, including the ‘crash-victim beneficiaries fund’, has no bearing on the pending civil litigation against Boeing, which we plan to prosecute fully to ensure the families receive the justice they deserve”.
The law offices from the voice of crash victims also shouted that 737 Max was not yet ready to touch the skies again. Unless all the aircraft of the Boeing undergo through all independent safety reviews, in a fair and transparent- which Boeing seems to be lacking till the date.