News
Boeing to Plead Guilty to Criminal Fraud Conspiracy Over 737 Max Crashes
Boeing has agreed to plead guilty to a criminal fraud conspiracy charge after the US found the company violated a deal meant to reform it after two fatal crashes by its 737 Max planes that killed 346 passengers and crew.
Settlement Sparks Outrage from Victims’ Families
The Department of Justice (DoJ) said the plane-maker had also agreed to pay a criminal fine of $243.6 million (£190 million). However, the families of the people who died on the flights five years ago have criticized it as a “sweetheart deal” that would allow Boeing to avoid full responsibility for the deaths. One called it an “atrocious abomination.”
Avoiding a Criminal Trial
The settlement must now be approved by a US judge. By pleading guilty, Boeing will avoid the spectacle of a criminal trial—something that victims’ families have been pressing for. The company has been in crisis over its safety record since two near-identical crashes involving 737 Max aircraft in 2018 and 2019. It led to the global grounding of the plane for more than a year.
Allegations of Deception
In 2021, prosecutors charged Boeing with one count of conspiracy to defraud regulators, alleging it had deceived the Federal Aviation Administration (FAA) about its MCAS flight control system, which was implicated in both crashes. It agreed not to prosecute Boeing if the company paid a penalty and successfully completed a three-year period of increased monitoring and reporting.
Renewed Scrutiny After Incident
But in January, shortly before that period was due to end, a door panel in a Boeing plane operated by Alaska Airlines blew out soon after take-off and forced the jet to land. No one was injured during the incident, but it intensified scrutiny over how much progress Boeing had made on improving its safety and quality record.
DOJ’s Findings
In May, the DoJ said it had found Boeing had violated the terms of the agreement, opening up the possibility of prosecution. Boeing’s decision to plead guilty is still a significant black mark for the firm because it means that the company—which is a prominent military contractor for the US government—now has a criminal record. It is also one of the world’s two biggest manufacturers of commercial jets.
Potential Impact on Contracting Business
It is not immediately clear how the criminal record will affect the firm’s contracting business. The government typically bars or suspends firms with records from participating in bids but can grant waivers.
Criticism from Legal and Safety Advocates
Paul Cassell, a lawyer representing some families of people killed on the 2018 and 2019 flights, said, “This sweetheart deal fails to recognize that because of Boeing’s conspiracy, 346 people died.” In a letter to the government in June, Mr. Cassell had urged the DoJ to fine Boeing more than $24 billion. Zipporah Kuria, who lost her father Joseph in one of the fatal crashes, said the plea was an “atrocious abomination.”
A Call for Accountability
“Miscarriage of justice is a gross understatement in describing this,” she said. “I hope that, God forbid, if this happens again, the DoJ is reminded that it had the opportunity to do something meaningful and instead chose not to.” Ed Pierson, executive director of Foundation for Aviation Safety and a former senior manager at Boeing, said the plea was “seriously disappointing” and “a terrible deal for justice.”
Background of the Crashes
A Boeing 737 Max plane operated by Indonesia’s Lion Air crashed in late October 2018 shortly after take-off, killing all 189 people on board. Just months later, an Ethiopian Airlines plane crashed, killing all 157 passengers and crew. In the 2021 deal, Boeing also agreed to pay $2.5 billion to resolve the matter, including a $243 million criminal penalty and $500 million to a victims’ fund. The deal outraged family members, who were not consulted on the terms and have called for the company to stand trial.
Ongoing Investigations and Lawsuits
Mark Forkner, a former Boeing technical pilot who was the only person to face criminal charges arising from the incident, was acquitted by a jury in 2022. His lawyers had argued he was being used as a scapegoat. The issues with MCAS were not Boeing’s first brush with the law. It has also paid millions in penalties to the Federal Aviation Administration since 2015 to resolve a series of claims of improper manufacturing and other issues. The company also continues to face investigations and lawsuits sparked by the incident on the January Alaska Airlines flight.
News
ICC Issues Arrest Warrants for Netanyahu, Gallant, and Hamas Commander Over War Crimes
The International Criminal Court (ICC) has issued arrest warrants for Israeli Prime Minister Benjamin Netanyahu, former Defense Minister Yoav Gallant, and Hamas military commander Mohammed Deif, accusing them of war crimes and crimes against humanity.
The ICC’s pre-trial chamber stated that there are “reasonable grounds” to believe all three men bear responsibility for atrocities committed during the conflict between Israel and Hamas. These include allegations of murder, persecution, torture, and the use of starvation as a weapon of war.
For Netanyahu and Gallant, the charges stem from Israel’s military response to Hamas’s deadly October 7, 2023, attack, which left 1,200 Israelis dead and 251 abducted to Gaza. Gaza’s Hamas-led health ministry reports over 44,000 deaths during Israel’s subsequent military campaign.
The ICC accuses Deif, Hamas’s military leader, of orchestrating crimes such as murder, extermination, rape, and hostage-taking during the initial attack. Despite Israel’s claim that Deif was killed in an airstrike in July, the ICC included him in the warrants.
Reactions
- Israel dismissed the ICC’s decision as “antisemitic” and reaffirmed its stance that the court lacks jurisdiction over the matter, as Israel is not a signatory to the ICC.
- Hamas hailed the warrants for Israeli leaders as a “historic precedent,” while rejecting the charges against its own commander.
- United States condemned the ICC’s actions, while European Union foreign policy chief Josep Borrell called for respecting and implementing the court’s decisions.
The warrants raise questions about enforcement, as neither Israel nor Hamas recognize the ICC, and compliance depends on the court’s 124 member states. The development marks a pivotal moment in international law’s attempt to address the human toll of the ongoing Israel-Hamas conflict.
News
Trump Appoints Linda McMahon and Mehmet Oz to High-Profile Roles
US President-elect Donald Trump has nominated Linda McMahon, co-founder of World Wrestling Entertainment (WWE) and a long-time ally, as his pick for education secretary. Mehmet Oz, the celebrity doctor and former TV host, has been chosen to head the Centers for Medicare and Medicaid Services (CMS).
McMahon, who led the Small Business Administration during Trump’s first term, is known for her close ties to the president-elect. She has limited experience in education but has served on Connecticut’s state board of education and currently chairs the pro-Trump America First Policy Institute. Trump has tasked her with advancing his controversial plan to dismantle the Department of Education and return educational oversight to the states.
On Truth Social, Trump praised McMahon, highlighting her advocacy for parental rights and her commitment to decentralizing federal control over education. With a Republican-majority Senate, her confirmation is expected to proceed smoothly.
Dr. Oz’s appointment to CMS marks another headline-grabbing selection. Known for his television career and health advice, Oz’s approach has faced scrutiny from medical professionals in the past. His role will involve overseeing critical federal healthcare programs, including Medicare and Medicaid, which serve millions of Americans.
Trump also announced Howard Lutnick, CEO of Cantor Fitzgerald, as his pick for commerce secretary, underscoring a pattern of selecting loyal allies and high-profile figures for his administration.
News
Jimmy Lai Denies Foreign Collusion in Landmark Hong Kong Trial
Jimmy Lai, the 76-year-old pro-democracy advocate and founder of Hong Kong’s now-shuttered Apple Daily, has denied allegations of collusion with foreign forces during his first testimony in a national security trial that could result in a life sentence.
Facing accusations tied to his foreign contacts, including former U.S. Vice President Mike Pence and Taiwan’s ex-President Tsai Ing-wen, Lai firmly stated in court on Wednesday, “Never.”
Dressed in a brown jacket and glasses, Lai appeared in good spirits despite visibly losing weight since his arrest. Smiling and waving to supporters outside the courtroom, he received warm encouragement from dozens of well-wishers who queued to show their solidarity.
When questioned about his interactions with international figures, Lai said his meetings were purely informational. Regarding a meeting with Pence, Lai stated, “I would just relay to him what happened in Hong Kong when he asked me.” As for then U.S. Secretary of State Mike Pompeo, he explained that he asked Pompeo “not to do something but to say something, to voice support for Hong Kong.”
Lai is already serving multiple sentences for his alleged role in the 2019 pro-democracy protests that prompted Beijing to implement the sweeping National Security Law (NSL). His trial follows the sentencing of 45 activists from the “Hong Kong 47” group earlier this week, including prominent figures Benny Tai and Joshua Wong.
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