Confirming a Monday WSJ report that Department of Transportation officials are scrutinizing the development of Boeing 737 MAX jetliners and in particular its anti-stall (MCAS) system, the Department of Transportation has officially asked for a wide-ranging review of how the government and Boeing certified the now infamous 737 MAX.
In a Tuesday press release, transportation Secretary Elaine Chao requested the audit in a memo to the department’s Inspector General Calvin Scovel.
The new audit is separate from the criminal probe that the Inspector General is also conducting in conjunction with the Department of Justice’s Criminal Division.
As Bloomberg notes, Chao’s move opens a new front in the U.S. government’s inquiries into the Oct. 31 crash of an Indonesian 737 Max and another crash of the same model in Ethiopia on March 10. The 737 Max family of jets was grounded by the Federal Aviation Administration on Wednesday after evidence surfaced linking the two crashes.
Boeing stock drifted to session lows, following the confirmation of the DOT probe of the 737 MAX.
via ZeroHedge News https://ift.tt/2WeceXr Tyler Durden