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A door of a 737 Max aircraft with production notes is seen at the Boeing factory in Renton, Washington, U.S., March 27, 2019.  Lindsey Wasson
A door of a 737 Max aircraft with production notes is seen at the Boeing factory in Renton, Washington, U.S., March 27, 2019. Lindsey Wasson
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Boeing faces multiple probes after mid-air MAX door plug blowout

May 17th, 2024 | 17:41 PM BUSINESS Aerospace & Defense 2

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By Reuters

Boeing (BA.N) is facing heightened scrutiny from U.S. regulators and prosecutors into its safety and quality practices following the Jan. 5 panel blowout on an Alaska Airlines 737 MAX 9.

The planemaker is producing its cash-cow MAX jets at a low rate as it works to address the issues, which have also sparked a reshuffle in its top management and led to a drop in its stock price this year.

Below are some of the probes since the incident:

SECURITIES AND EXCHANGE COMMISSION

The SEC is investigating statements from Boeing about its safety practices and will examine whether the planemaker or its executives misled investors in violation of the Wall Street regulator's rules, Bloomberg News reported on May 9.

FEDERAL AVIATION ADMINISTRATION

The aviation regulator on Jan. 11 said it was launching a formal investigation into Boeing 737 MAX 9 planes following the cabin panel blowout, adding the incident "should have never happened and it cannot happen again."

Later in January, the FAA said it would not allow Boeing to expand 737 MAX production, and laid out an inspection and maintenance process for the planes that had been grounded after the incident.

On Feb 28, the FAA told Boeing it must develop a comprehensive action plan to address "systemic quality-control issues" within 90 days, following an all-day meeting with the planemaker's outgoing CEO Dave Calhoun.

On Friday, Calhoun said the company will meet with the FAA in a "couple of weeks" to present a final plan that would respect the U.S. regulator's 90-day deadline.

DEPARTMENT OF JUSTICE

In March, the U.S. Federal Bureau of Investigation told passengers who were on the Alaska Airlines flight that they may be victims of a crime, according to letters seen by Reuters.

Earlier in May, the DOJ said in a court filing Boeing had breached its obligations in a 2021 agreement that shielded the planemaker from criminal prosecution over fatal 737 MAX crashes in 2018 and 2019 that killed 346 people.

The department has directed the company to respond by June 13 and intends to decide whether to prosecute Boeing by July 7, the filing said.

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