facebook
twitter
rss
account
search
search

FAA proposes $12 million fine for Southwest Airlines

The proposed fine is the second-largest fine proposed against an airline, the largest being $24.2 million against American Airlines in 2010.
By Ananth Baliga   |   July 28, 2014 at 4:15 PM

WASHINGTON, July 28 (UPI) --The Federal Aviation Administration has proposed Southwest Airlines pay a $12 million fine for undertaking repairs on aircraft that weren't up to regulations.

Southwest Airlines is accused of conducting repairs to the planes' aluminum skin, with the help of Southwest contractor, Everett, that were not in line with federal rules. The repairs were made by Everett, but, under U.S. law, airlines are responsible for repairs made by contractors.

"Safety is our top priority, and that means holding airlines responsible for the repairs their contractors undertake," U.S. Transportation Secretary Anthony Foxx said in a statement.

"Southwest is committed to continuously making enhancements to our internal procedures, as well as improvements related to oversight of our repair vendors," said a Southwest spokeswoman.

The fine relates to three separate incidents involving Boeing 737 jetliners. In one of the cases, the airline conducted "extreme makeover" alterations to the outer aluminum skin to eliminate potential cracking on 44 planes. The FAA claims that Everett failed to stabilize the planes while placing them on the jacks.

If the plane is not stable it could shift during repairs and compromise the integrity of the new skin, according to the FAA.

"Southwest returned the jetliners to service and operated them when they were not in compliance with federal aviation regulations," the FAA said.

In another instance, the contractor failed to install fasteners in all rivet holes while applying sealant. The error could have resulted in gaps between the skin and the surface to which it was being mounted.

Southwest has 30 days from receipt of the suit to respond to the FAA.

Follow @antbaliga and @UPI on Twitter.
Contact the Author
© 2014 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Most Popular
Trending News
Business News
16 hours

Smith & Wesson fined $2 million in foreign bribery case

The Massachusetts gunmaker bribed officials in Pakistan with $11,000 worth of guns when trying to secure a sales contract.
By Ananth Baliga   |   July 28, 2014 at 2:49 PM

| License Photo
SPRINGFIELD, Mass., July 28 (UPI) --Gunmaker Smith and Wesson was fined $2 million by the Securities and Exchange Commission for bribing officials in Pakistan, Turkey and other countries to win contracts.

Smith and Wesson was charged with bribing military and police officials between 2007 and 2010 to secure contracts, according to an order filed Monday by the SEC. The gunmaker did not admit or deny any wrongdoing in the case. The agency said that Smith and Wesson also agreed to fire its international sales team.

"Today's announcement brings to conclusion a legacy issue for our company that commenced more than four years ago, and we are pleased to now finally put this matter behind us," said Smith & Wesson Chief Executive James Debney.

In one case, the SEC said that the gunmaker had doled out more than $11,000 worth of guns as a bribe to a Pakistani police official. The company in return reaped a profit of $107,852 from the deal.

The Justice Department carried out a sting operation in 2010 that resulted in the arrest of 22 law-enforcement and military-equipment dealers, including Smith and Wesson's vice president of international sales at the time, Patrick Caldwell. Caldwell was later acquitted by a federal jury, with prosecutors declining to pursue charges against the company.

The company was also accused of bribing Indonesian police officials, as well as foreign officials in Turkey, Nepal and Bangladesh.

Follow @antbaliga and @UPI on Twitter.
Contact the Author
© 2014 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
,'/Business_News/2014/07/28/FAA-proposes-12-million-fine-for-Southwest-Airlines/7171406572876/?spt=inf&or=1&ln=1'
Load More
x
Feedback