North America

United Airlines Reaches Non-Prosecution Agreement In Port Authority Investigation

United Airlines Boeing 737-800
Tis Meyer/Planepics.org

United Airlines reported today that it has reached a resolution in the form of a Non-Prosecution Agreement with the United States Attorney’s Office for the District of New Jersey (the “USAO”) in connection with its Port Authority investigation.

Under the agreement, the USAO will not prosecute United in connection with United’s establishment of a flight between Newark Liberty International Airport in New Jersey and Columbia Metropolitan Airport in South Carolina, provided that United complies with the agreement for two years. In addition, United has agreed to pay a financial penalty of $2.25 million.

“As we move forward, continuing to earn and keep the trust of our employees, customers, shareholders, and the communities we serve around the world remains critical to our success,” said Oscar Munoz, President and Chief Executive Officer of United. “We will continue to act with the utmost integrity in everything we do, ensuring that we are always conducting business ethically and with the best interests of all of our stakeholders in mind.”

In the agreement, the USAO recognized United’s “extensive, thorough, timely and voluntary cooperation” as well as its “early and extensive remedial efforts.” The USAO also acknowledged that United improved its Ethics and Compliance Office and enhanced its policies.

Under the agreement, United accepted responsibility for certain conduct related to the establishment of the flight between Newark and Columbia. Also, United agreed to continue to enhance its compliance, anti-bribery and anti-corruption program policies and procedures as appropriate and to make annual reports of its compliance efforts. United is committed to full compliance with this agreement.

United Airlines and United Express operate an average of 5,000 flights a day to 336 airports across six continents. In 2015, United and United Express operated more than 1.5 million flights carrying more than 140 million customers.

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1 Comment

1 Comment

  1. Mary

    March 1, 2017 at 4:21 am

    How does Jeff Smizek come out with this compromise? Does he still get his Golden Parachute?

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