Boeing to pay $12m penalty to FAA

The Federal Aviation Administration had been investigating the aircraft manufacturer for not properly managing its quality controls for manufacturing.    Boeing Co. has settled 13 enforcement cases with the U.S. Federal Aviation Administration for $12 million.
   The agreement addresses issues with internal quality controls, which fell below federal standards, at Boeing assembly plants and supplier factories. Boeing has implemented, or is in the process of doing so, improvements in its design, planning, production and maintenance planning processes, the FAA and the aircraft maker said Tuesday.
   As a certified aircraft manufacturer, Boeing is obligated to self-report potential regulatory compliance problems and take timely corrective action. The FAA said the company failed to do that in a number of cases.
   One of the cases involved Boeing’s tardiness in developing information for the installation of fuel tank flammability reduction equipment on 747 and 757 aircraft. Another case involved the company’s insufficient corrective action after discovering that a supplier had been providing incorrectly shaped fasteners.
   The FAA did not allege that these issues created unsafe conditions.
   Boeing could face up to $24 million in additional penalties over the next five years if it fails to implement its obligations under the agreement.
   “Boeing believes that this agreement not only fairly resolves announced and potential civil penalty actions – most of which date back years, and two of which were previously announced in 2012 and 2013 – but also will further enhance Boeing’s self-correcting quality and compliance systems,” the Chicago-headquartered company said in a statement.
   “We take responsibility for our actions, and we will never compromise on our commitment to quality and compliance – a commitment that is one of the core reasons we build the best airplanes in the world. We are actively working on the areas identified in the agreement and see this as another way to continually improve our compliance system.”