A federal judge in Texas has granted the Justice Department’s request to dismiss a criminal conspiracy charge against Boeing related to two 737 Max crashes that killed 346 people. The decision ends the government’s attempt to bring criminal charges over the development and certification of the aircraft’s flight-control system.
Under the agreement to drop the charge, Boeing committed to pay or invest an additional $1.1 billion. The funds will go toward fines, compensation for victims’ families, and internal safety and quality improvements. The settlement also allows Boeing to select its own compliance consultant rather than accepting an independent court-appointed monitor.
Prosecutors had alleged Boeing deceived regulators about an automated flight-control feature later tied to the fatal accidents. Families of victims urged U.S. District Judge Reed O’Connor to reject the deal during an emotional hearing in September and asked that a special prosecutor be appointed. O’Connor criticized the agreement as failing to secure the accountability needed to protect the flying public, but he said the court could not bar dismissal merely because it disagreed with the government’s view that the resolution served the public interest.
The judge also found that the Justice Department had not acted in bad faith, had adequately explained its decision, and had met obligations under the Crime Victims’ Rights Act. Some victims’ relatives have said they will appeal the ruling.
Survivors and families remain divided. The Justice Department said it is confident the resolution is the most just outcome and noted that families of 110 victims either supported the settlement or did not oppose it. Nearly 100 families, however, opposed the agreement. Relatives who spoke at the September hearing included people who traveled from Europe and Africa to urge stronger accountability, with several arguing that allowing the deal would let Boeing effectively buy its way out of criminal responsibility.
The legal saga dates to a 2021 Justice Department charge accusing Boeing of defrauding the government. The department initially agreed not to prosecute if Boeing paid a settlement and took compliance steps, but later said Boeing violated that agreement; Boeing then agreed to plead guilty, a plea that Judge O’Connor previously rejected. After Thursday’s ruling, Boeing said it will honor the settlement and continue efforts to strengthen safety, quality, and compliance programs.
The two crashes occurred less than five months apart: a Lion Air flight plunged into the sea off Indonesia in 2018, and an Ethiopian Airlines flight crashed near Addis Ababa in 2019. All passengers and crew on both flights were killed. Investigations found that an automated system, developed to compensate for design changes on the Max, activated based on faulty input from a single sensor and repeatedly pushed the nose of the planes downward. Pilots were unable to overcome the system’s actions. Following the second crash, the 737 Max fleet was grounded worldwide for about 20 months.
Investigators also concluded that Boeing did not inform key Federal Aviation Administration personnel about the software changes before regulators set pilot training requirements and certified the aircraft. A related civil trial has begun in Chicago, where a jury is deciding damages for the family of a United Nations consultant who died in the Ethiopian crash.
Victims’ families and aviation safety advocates say the case raises broader questions about corporate accountability, regulatory oversight, and how to ensure changes to aircraft design and software are fully disclosed to pilots and regulators. The dispute over whether a financial settlement and internal reforms are sufficient in place of criminal prosecution is likely to continue as some families pursue appeals and civil litigation proceeds.