US judge rejects Boeing 737 MAX accord over diversity policies

A US judge has rejected a criminal settlement between Boeing and the Justice Department regarding the 737 MAX crashes that resulted in 346 fatalities. US District Judge Reed O'Connor criticized the diversity, equity, and inclusion (DEI) policies of both Boeing and the Justice Department, expressing skepticism about the fairness of the proposed monitor selection process. The judge's ruling highlighted concerns that the monitor might be chosen based on race rather than competency, undermining public confidence in the oversight of Boeing's compliance with the agreement. O'Connor emphasized the need for a transparent and skill-based selection process, stating that the DEI initiatives could compromise the integrity of the monitoring system. The ruling follows a history of scrutiny over Boeing's practices and the Justice Department's handling of the case, which has seen Boeing agreeing to pay significant fines after violating previous agreements. The judge's decision may lead to a renegotiation of the plea deal to ensure proper monitoring and accountability for Boeing's actions. Following the ruling, Boeing's shares experienced a slight decline.

- A US judge rejected Boeing's criminal settlement over the 737 MAX crashes.

- The judge criticized diversity policies for potentially compromising the selection of a compliance monitor.

- Concerns were raised about the fairness and transparency of the monitor selection process.

- The ruling may prompt a renegotiation of Boeing's plea deal and monitoring arrangements.

- Boeing's stock price fell following the judge's decision.