Letter to Department of Justice Seeking $24 Billion Fine and Prosecution of Past Boeing Executives
The families who lost loved ones in the crashes of two Boeing 737 MAX aircraft sent a letter Wednesday, June 19, 2024, to the Justice Department, seeking aggressive prosecution of The Boeing Company and criminal prosecution of its then-corporate leadership. Sent by Professor Paul Cassell of the S.J. Quinney College of Law at the University of Utah, the 32-page letter asks for a substantial fine, the imposition of corporate monitoring on Boeing, and criminal prosecution of Boeing’s then-corporate leadership.
The Justice Department and Boeing reached a deferred prosecution agreement (DPA) in January 2021 to resolve Boeing’s corporate criminal responsibility for two crashes of Boeing 737 MAX aircraft that killed 346 people. Under the DPA, Boeing promised to improve safety and compliance in aircraft production. And, if it met its obligations, criminal charges against the company for concealing safety issues from the FAA would be dismissed. But in April of this year, the Department concluded that Boeing had breached its safety and compliance obligations under the DPA. The Department has asked the families how the Department should proceed with the case against Boeing.
In the letter, the families ask for a quick public jury trial of the charge against Boeing, followed by the imposition of a $24 billion fine. The letter explains that the U.S. district court judge handling the case has found that Boeing committed “the deadliest corporate crime in U.S. history,” Judge Reed O’Connor from Texas stated. Given the substantial losses to the victims’ families and Boeing’s aircraft customers, the letter explains that the maximum permissible fine against Boeing is $24.78 billion. The letter urges that the Department support the imposition of such a fine, with a part of the fine suspended on the condition that the suspended funds be used for corporate compliance and new safety measures. The letter also urges the Department to ask Judge O’Connor to appoint an independent corporate monitor to review Boeing’s safety measures and to direct improvement as appropriate.
The letter also asks the Department to quickly begin prosecuting Boeing’s then-CEO Dennis Muilenburg (and other responsible corporate executives) for their personal role in concealing the safety problems with the 737 MAX from the FAA. The letter notes that considerable evidence against Muilenburg has already been collected by the Securities and Exchange Commission, which ordered Muilenburg to pay a $1 million fine for concealing safety problems with the MAX from the public and investors. Muilenburg was fired by Boeing in December 2019.
Professor Cassell explains in the letter, “The salient fact in this case is that Boeing lied, people died. Indeed, 346 people died in the deadliest corporate crime in our nation’s history. That staggering loss should be reflected in the sentence in this case—including in the fine. Indeed, it would almost be morally reprehensible if the criminal justice system was incapable of capturing the enormous human costs of Boeing’s crime.”
The families’ letter follows closely on the heels of a hearing on June 18, 2024, before the Senate Permanent Subcommittee on Investigations, Chaired by Senator Richard Blumenthal (D-CT). In the hearing, Senator Blumenthal reeled off numerous infractions of Boeing, including retaliation that the Senate learned of from more than a dozen whistleblowers, many of whom previously worked at Boeing. Senator Blumenthal concluded, “[t]here is now overwhelming evidence in my view as a former prosecutor that prosecution should be pursued.” He added, “There are people who should be held accountable.”
The families’ letter also asks Judge O’Connor to direct Boeing’s Board of Directors to meet with the families to discuss Boeing’s safety problems. To read the letter in full, click here.
For further information or to speak to Professor Cassell, contact Clifford Law Offices Communications Partner Pamela Sakowicz Menaker at 847-721-0909 (cell).