On September 22, 2022, the SEC charged The Boeing Company and its former CEO with making materially misleading public statements following crashes of Boeing airplanes. According to the SEC’s orders, after the first crash, Boeing and Muilenburg knew that MCAS posed an ongoing airplane safety issue, but nevertheless assured the public that the 737 MAX airplane was “as safe as any airplane that has ever flown the skies.” Later, following the second crash, Boeing and Muilenburg assured the public that there were no slips or gaps in the certification process with respect to MCAS, despite being aware of contrary information. Boeing and the former CEO entered into cease-and-desist orders that included penalties of $200 million and $1 million, respectively.

Gurbir S. Grewal, Director of the SEC’s Enforcement Division stated: “[P]ublic companies and their executives must provide accurate and complete information when they make disclosures to investors, no matter the circumstances. When they don’t, we will hold them accountable, as we did here.”