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Sources: Boeing nearing agreement to avoid guilty plea and prosecution in fatal crash case

Boeing and U.S. prosecutors have tentatively reached an agreement to not prosecute in a fraud investigation stemming from the two fatal crashes of 737 MAX aircraft that killed 346 passengers, according to people familiar with this matter.

The agreement will prevent a trial scheduled for June 23, where the planemaker is accused of misleading U.S. regulators regarding a critical flight control system in the 737 MAX. The agreement would need to be approved by a judge.

Sources said that prosecutors informed family members of crash victim victims on Friday at a meeting that Boeing had no longer agreed to plead guilt in the case. According to prosecutors, the company's position changed after a December judge rejected an earlier plea agreement.

A DOJ official stated that officials were still debating whether they should proceed with a nonprosecution or bring Boeing to court. The official informed family members that no final decision had been made and that Boeing and DOJ officials hadn't yet exchanged documents to negotiate the final details of a nonprosecution deal.

Boeing and DOJ did not comment. Reporting by Mike Spector and David Shepardson, both in New York; editing by Daniel Wallis and Chizu Nimiyama.

(source: Reuters)