Boeing to pay $2.5bn to resolve 737 MAX legal probe in US | Aviation Information

A total of 346 people died in two fatal accidents in Indonesia and Ethiopia.

Boeing Co will pay over $ 2.5 billion to resolve the U.S. Department of Justice (DOJ) investigation into two fatal 737 MAX accidents that killed 346 people, the DOJ said.

The DOJ said the settlement resulted in a $ 243.6 million fine, $ 1.77 billion in compensation payments to Boeing’s 737 MAX customers, and the establishment of an accident victims fund of $ 500 million to compensate the heirs, relatives and legal beneficiaries of the passengers.

Two fatal accidents in Indonesia in 2018 and Ethiopia in 2019 killed a total of 346 people. In both crashes, the 737 MAX system repeatedly pushed the nose down due to incorrect sensor readings, and the pilots were unable to regain control.

The MAX was retired worldwide in March 2019, days after the second crash. Reports from US House and Senate committees accused Boeing and the US Federal Aviation Administration (FAA) of failing to certify the aircraft.

In November, the FAA approved changes Boeing made to the automated flight control system involved in the crash.

Boeing’s 737 MAX resumed passenger flights in the United States at the end of December for the first time since the 20-month safety ban was lifted.

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