Boeing will compensate 200 million dollars to settle charges related to 737 MAX

Boeing Co will pay 200 million dollars to settle civil charges leveled by the U.S. Securities and Exchange Commission. According to legal action, the company had provided the investors with the wrong information concerning the state of the airplane 737 MAX. After two serious accidents, the aircraft wasn't inspected for 20 months. 

According to the SEC indictment, Boeing knew about the problems, but after the first accident, they assured the public of the aircraft’s safety.  

SEC chairman Gary Gensler declared that public companies are obligated to provide the market with reliable information during the time of crisis, and Muilenburg and Boeing didn’t do that. 

Boeing could avoid court on charges of withholding information concerning the airplane’s defects by concluding a settlement agreement with the Minister of Justice. According to this agreement, the company will pay the penalty of 243,6 million dollars, and 1,77 billion compensation to airlines together with 500 million to help victims.