Judge rejects Justice Dept plea deal with Boeing over fatal 737 Max plane crashes

A federal judge in Texas rejected a proposed plea agreement between the Justice Department and Boeing that would have settled the U.S. government's claims against the company, after crashes of two 737 Max jetliners that killed 346 people, according to a court order issued Thursday. 

In his ruling, Judge Reed O'Connor took issue with both a lack of judicial oversight and certain diversity requirements included in the deal's independent monitoring process and ordered the parties to provide the court with a plan for possible ways forward early next month. 

The federal government's proposed agreement with airplane manufacturing giant over the deadly crashes included various provisions, including an admission of guilt to one count of conspiracy to defraud the United States and a $243.6 million fine — much less than the billions the families of the victims had requested. The deal would also have required Boeing to spend $455 million on safety programs and to work with an independent monitor who would oversee the company's progress.