NEW YORK/WASHINGTON: Boeing has agreed to plead guilty to a criminal fraud conspiracy charge to resolve a US Justice Department investigation linked to two 737 MAX fatal crashes, a government official said on Sunday.
The plea, which requires a federal judge’s approval, would brand the planemaker a convicted felon. Boeing will also pay a criminal fine of $243.6 million, a Justice Department official said.
The charge relates to two 737 MAX crashes in Indonesia and Ethiopia over a five-month period in 2018 and 2019 that killed 346 people and prompted the families of the victims to demand that Boeing face prosecution.
A guilty plea potentially threatens the company’s ability to secure lucrative government contracts with the likes of the US Defense Department and NASA, although it could seek waivers. Boeing became exposed to criminal prosecution after the Justice Department in May found the company violated a 2021 settlement involving the fatal crashes.
Still, the plea spares Boeing a contentious trial that could have exposed many of the company’s decisions leading up to the fatal MAX plane crashes to even greater public scrutiny. It would also make it easier for the company, which will have a new CEO later this year, to try to move forward as it seeks approval for its planned acquisition of Spirit AeroSystems.
Boeing declined to comment.
Boeing has also agreed to invest at least $455 million over the next three years to strengthen its safety and compliance programs, the official said. DOJ will appoint a third-party monitor to oversee the firm’s compliance. The monitor will have to publicly file with the court annual reports on the company’s progress.
The Justice Department on June 30 offered a plea agreement to Boeing and gave the company until the end of the week to take the deal or face a trial on a charge of conspiring to defraud the Federal Aviation Administration in connection with a key software feature tied to the fatal crashes.
After being briefed last week on the DOJ’s offer, a lawyer for some of the families criticized it as a “sweetheart deal.” They have vowed to oppose the deal in court.
The Justice Department’s push to charge Boeing has deepened an ongoing crisis engulfing Boeing since a separate January in-flight blowout exposed continuing safety and quality issues at the planemaker.
A panel blew off a new Boeing 737 MAX 9 jet during a Jan. 5 Alaska Airlines flight, just two days before the 2021 deferred prosecution agreement that had shielded the company from prosecution over the previous fatal crashes expired. The agreement only covers Boeing’s conduct before the fatal crashes and does not shield the planemaker from any other potential investigations or charges related to the January incident or other conduct.
Boeing is pleading guilty to making knowingly false representations to the Federal Aviation Administration about having expanded a key software feature used on the MAX to operate at low speeds. The new software saved Boeing money by requiring less intensive training for pilots.
The Maneuvering Characteristics Augmentation System (MCAS) is a software feature designed to automatically push the airplane’s nose down in certain conditions. It was tied to the two crashes that led to the FAA’s grounding the plane for 20 months, an action that cost Boeing $20 billion, and the government lifted in November 2020.
As part of the deal, Boeing’s board of directors will meet with relatives of those killed in the MAX crashes, the official said.
The agreement does not shield any executives, the DOJ official said, though charges against individuals are seen as unlikely due to the statute of limitations.
The agreed penalty will be Boeing’s second fine of $243.6 million related to the fatal crashes — bringing the full fine to the maximum allowed. The company paid the fine previously as part of 2021’s $2.5 billion settlement. The $243.6 million fine represented the amount Boeing saved by not implementing full-flight simulator training.
Families of the victims of those crashes slammed the previous agreement and earlier this year pressed the Justice Department to seek as much as $25 billion from Boeing.
This year, the DOJ has held several meetings to hear from the victims’ families as they investigated Boeing’s breach of the 2021 deal.
Boeing to plead guilty in US probe of fatal 737 MAX crashes, says DOJ official
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Boeing to plead guilty in US probe of fatal 737 MAX crashes, says DOJ official
- The plea, which requires a federal judge’s approval, would brand the planemaker a convicted felon
- Charge relates to two 737 MAX crashes in Indonesia and Ethiopia over a five-month period in 2018 and 2019
US ‘welcomes’ Ethiopia-Somalia deal on sea access
- Countries had been at loggerheads since landlocked Ethiopia struck a deal in January with Somalia’s breakaway region of Somaliland to lease a stretch of coastline for a port and military base
- Turkiye, which had brokered talks between Somalia and Ethiopia, announced the two sides had reached a deal that would ensure ‘reliable, safe and sustainable access’ to the sea for Ethiopia
The two countries had been at loggerheads since landlocked Ethiopia struck a deal in January with Somalia’s breakaway region of Somaliland to lease a stretch of coastline for a port and military base.
But on Wednesday, regional power Turkiye, which had brokered talks between Somalia and Ethiopia, announced the two sides had reached a deal that would ensure “reliable, safe and sustainable access” to the sea for Ethiopia, “under the sovereign authority of the Federal Republic of Somalia.”
“The United States welcomes the December 11 Declaration between the Federal Republic of Somalia and the Federal Democratic Republic of Ethiopia reaffirming each country’s sovereignty, unity, independence, and territorial integrity,” top US diplomat Antony Blinken said in a statement.
Blinken added the United States was looking forward to the “technical negotiations” that would spell out Ethiopia’s sea access “while respecting Somalia’s territorial integrity.”
After Ethiopia had announced its original deal with Somaliland — which unilaterally declared independence from Somalia in 1991 — authorities in the region said Ethiopia would give their government formal recognition.
The pledge was never confirmed by Addis Ababa.
Somalia branded the deal a violation of its sovereignty, setting international alarm bells ringing over the risk of renewed conflict in the volatile region.
Blinken also thanked Turkiye for “facilitating” the new agreement.
The statement came as he was in talks with Turkish President Recep Tayyip Erdogan in Ankara on the situation in Syria.
“We encourage Ethiopia and Somalia to intensify their cooperation on mutual security interests, particularly the fight against Al-Shabab,” Blinken said.
Escalation feared as Georgia pro-EU protests enter third week
- Despite windy weather on Thursday evening, several thousand people rallied outside Georgia’s parliament
- Many waved EU and Georgian flags while demonstrators blocked traffic on Tbilisi’s main avenue
TBILISI: Georgia’s pro-EU protests entered their third week Thursday, amid fears the post-electoral crisis could further escalate with the ruling party set to appoint a loyalist as the country’s next president.
The Black Sea nation has been in turmoil since the ruling Georgian Dream party claimed victory in October’s parliamentary elections, and the government’s decision last month to delay EU accession talks ignited a fresh wave of mass rallies.
More unrest is expected on Saturday, when Georgian Dream is scheduled to strengthen its grip on power by appointing far-right former footballer Mikheil Kavelashvili as a successor to pro-Western President Salome Zurabishvili, who has refused to step down.
Despite windy weather on Thursday evening, several thousand people rallied outside Georgia’s parliament, marking a third week of daily protests that began on November 28.
Many waved EU and Georgian flags while demonstrators blocked traffic on Tbilisi’s main avenue.
“Our protest will last as long as it takes for Georgian Dream to be removed from power,” protester Rusiko Dolidze, 42, told AFP.
“We won’t let a handful of Russian lackeys steal our European future.”
Anti-government rallies were also held in several cities across Georgia, including in the western cities of Batumi, Kutaisi and Zugdidi, local media reported.
A protest is scheduled for Saturday morning outside parliament, where an electoral college controlled by Georgian Dream is expected to elect Kavelashvili as the country’s new figurehead president in an indirect vote boycotted by the opposition.
Kavelashvili will see his legitimacy undermined from the onset, with constitutional law experts — including an author of Georgia’s constitution, Vakhtang Khmaladze — saying the vote will be “illegitimate.”
The new parliament had ratified its own credentials in violation of a legal requirement to await a court decision on Zurabishvili’s bid to annul the earlier election results.
Zurabishvili has backed the opposition’s allegations of election rigging, declared the newly elected parliament and the government “illegitimate” and vowed to remain in office until Georgian Dream organizes a new parliamentary election.
It remains unclear how the government will react to Zurabishvili’s refusal to step down after her successor is inaugurated on December 29.
Zurabishvili is a hugely popular figure among the protesters, who view her as a beacon of Georgia’s European aspirations. Many have expressed their readiness to defend her against any attempted eviction from the presidential palace.
“Let them try to kick Salome out of the presidential palace — we will all stand up to defend her,” said protester Otar Turnava, 23.
“She is the only legitimate leader we have had since Georgian Dream stole the election, and she will lead us into the EU.”
Triggering outrage at home and mounting international condemnation, police have used tear gas and water cannons to disperse previous rallies, arresting more than 400 demonstrators.
The country’s rights ombudsman has accused security forces of “torturing” those detained.
Police have raided opposition party offices and detained their leaders, while masked men have brutally assaulted opposition figures and journalists near the protest venue.
On Wednesday, French President Emmanuel Macron condemned the “intimidation” of civil society as well as police violence “against peaceful demonstrators and journalists,” the Elysee said after talks with Georgian Dream’s honorary chairman Bidzina Ivanishvili.
Macron expressed regret that Georgia had “diverged from its European path” and said that “the relationship between the European Union and Georgia would necessarily be affected.”
Ivanishvili, Georgia’s richest man, is widely believed to be pulling the strings of power despite holding no official post.
Macron’s decision to call informal leader Ivanishvili — rather than Prime Minister Irakli Kobakhidze — is indicative of the West’s hesitancy to recognize the legitimacy of Georgian Dream’s new government.
Brussels has said there are “credible concerns” of torture against demonstrators.
Washington has threatened fresh sanctions against Georgian Dream officials after the European Parliament made a similar demand to the European Commission.
The party rejected fraud accusations and insisted it was committed to Georgia’s bid for EU membership.
Brussels has warned such policies are incompatible with EU membership, while domestic critics accuse the government of copying Russia’s playbook.
Ukraine’s path into NATO ‘irreversible’: European foreign ministers
- The foreign ministers of Britain, France, Germany, Italy, Poland and Spain, and the EU’s foreign policy chief said: “Ukraine must prevail“
- “We are committed to providing Ukraine with ironclad security guarantees“
BERLIN: Ukraine’s path to eventual NATO membership is “irreversible,” seven European foreign policy chiefs said at a meeting in Berlin on Thursday.
“We will continue to support Ukraine on its irreversible path to full Euro-Atlantic integration, including NATO membership,” said the foreign ministers of Britain, France, Germany, Italy, Poland and Spain, and the EU’s foreign policy chief.
“Ukraine must prevail,” they stressed in a joint declaration after meeting their Ukrainian counterpart.
“We are committed to providing Ukraine with ironclad security guarantees, including reliable long-term provision of military and financial support,” they added.
Germany’s Foreign Minister Annalena Baerbock hosted the meeting as Ukraine’s fight against Russia’s invasion has raged for more than 1,000 days and into its third winter, with Kyiv’s troops under heavy pressure.
The top diplomats vowed to “remain steadfast in our solidarity” and “continue to support Ukraine in its right of self-defense against Russian aggression.”
US President-elect Donald Trump, who takes office next month, has said solving the Ukraine crisis would be his top priority, but there are fears in Kyiv that he could try to force big concessions on Ukraine in return for a ceasefire.
The European ministers meeting in Berlin stressed: “There can be no negotiations about peace in Ukraine without Ukrainians and without Europeans by their side.”
They vowed to “stand united with our European and transatlantic partners to think and act big on European security.”
The group also said they would “continue to support Ukraine on its path toward accession to the European Union.”
UK aims to boost home-schooling safety after British-Pakistani girl’s murder
- Ten-year-old Sara Sharif’s father, step-mother were convicted of murdering her this week
- Months before death, her father had taken Sharif out of school to be taught at home
LONDON: British Prime Minister Keir Starmer on Thursday called for better safeguards for home-schooled children and said there were “questions that need to be answered” after the brutal murder of a 10-year-old girl.
Sara Sharif’s father and step-mother were convicted of murder on Wednesday in a trial that revealed gruesome details of the abuse inflicted on her, and the failure of child protection services to intervene despite warning signs.
Months before her death, her father Urfan Sharif had taken her out of school to be taught at home, after Sara’s teacher reported her bruises to child services.
At the time, child services had probed the incident but did not take any action.
Starmer said the “awful” case was “about making sure that (there are) protecting safeguards for children, particularly those being home-schooled.”
The Department for Education said it was “already taking action to make sure no child falls through the cracks” and “bringing in greater safeguards for children in home education.”
The government plans to “make sure that schools and teachers are involved in safeguarding decisions,” a Downing Street spokesperson said, adding that details would be included in upcoming legislation.
Parents will also need local authority consent for home-schooling at-risk children under the proposed changes, and a register of children who are not in school will be drawn up.
Sara was found dead in her home in August 2023, with extensive injuries including broken bones, burns and even bite marks after being subjected to years of abuse.
She had also been in and out of foster care after Sharif separated from her mother, Olga Sharif, to marry the step-mother Beinash Batool.
Despite previous allegations of abusive behavior against the father made by Olga, Sharif won custody of Sara in 2019, just four years before she was killed.
Children’s Commissioner Rachel de Souza said Sara’s death highlighted “profound weaknesses in our child protection system.”
De Souza said it was “madness” that an at-risk child could be taken out of school, calling for a ban on home-schooling of suspected abuse victims.
According to a child safeguarding report published on Thursday, 485 children in England died or were seriously harmed by abuse or neglect in the year to April 2024.
Urfan Sharif, Beinash Batool and Sara’s uncle Faisal Malik, who was cleared of murder but convicted of causing or allowing her death, are due to be sentenced on Tuesday.
Finland to host EU leaders for defense, immigration talks
- Discussions will focus on “key issues facing Europe in a tense geopolitical climate,” the government said
- Finland has accused Russia of orchestrating a surge of migrants
HELSINKI: Finland’s Prime Minister Petteri Orpo will host four high-ranking EU counterparts in late December for talks on security and immigration, the Finnish government said on Thursday.
EU foreign policy chief Kaja Kallas, Swedish Prime Minister Ulf Kristersson, Italian Prime Minister Giorgia Meloni and Greek Prime Minister Kyriakos Mitsotakis will join the summit, which will take place in Saariselka in Finland’s far north on December 21 and 22.
Discussions will focus on “key issues facing Europe in a tense geopolitical climate,” the government said in a statement.
Topics like “European security, defense and preparedness, as well as migration, instrumentalization of migration and border security” will be on the agenda.
“The summit will provide an opportunity to discuss issues confidentially and come up with ideas for new initiatives,” the statement said.
Finland has accused Russia of orchestrating a surge of migrants after nearly 1,000 migrants without visas arrived at its 1,340-kilometer-long (830-mile) eastern border with Russia in the autumn of 2023.
Helsinki dubbed it a “hybrid attack,” but the Kremlin has denied the accusation.
“Europe has to take greater responsibility for its own security,” Orpo was quoted saying in the statement.
“This means that European countries have to be strong leaders, both in the EU and in NATO. Our greatest threat is Russia, which is trying to consolidate power and sow discord in Europe.”
