US prosecutors recommend criminal charges against Boeing for violating settlement: report

U.S. prosecutors have recommended that the Department of Justice (DOJ) bring criminal charges against Boeing for violating a settlement related to two fatal crashes.

U.S. prosecutors have reportedly recommended that the Department of Justice (DOJ) bring criminal charges against Boeing for violating a settlement related to two fatal crashes. 

The recommendation, first reported by Reuters, comes after the DOJ said last month that Boeing breached its obligations from a 2021 agreement that shielded the embattled corporation from criminal prosecution from two fatal 737 MAX crashes in 2018 and 2019 that killed 346 people. 

The DOJ said Boeing broke the agreement by "failing to design, implement and enforce a compliance and ethics program to prevent and detect violations of the U.S. fraud laws throughout its operations." 

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Under the 2021 agreement, the DOJ said it would not prosecute Boeing so long as it overhauled its compliance practices and submitted regular reports. The company also agreed to pay $2.5 billion to settle the investigation. 

Boeing declined to comment when reached by FOX Business. The DOJ did not respond to a request for comment before publication. 

The company previously told FOX Business that it had received notice from the DOJ and said they "believe that we have honored the terms." 

The DOJ has until July 7 to decide whether it will bring criminal charges against Boeing. 

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The report comes as the embattled company faces intense scrutiny from U.S. prosecutors, regulators, and lawmakers after a panel blew off one of its jets operated by Alaska Airlines in early January. 

FOX Business' Sarah Rumpf-Whitten and Reuters contributed to this report.