Aviation News

August 8, 2012

FAA Considers Record $162.4 Million Fine Against American Airlines

American Airlines 767 and 777 about to get hot and heavy at JFK. (Photo by Mark Hsiung)

The Federal Aviation Administration has notified a Federal Bankruptcy Court that is it proposing fines to be levied against American Airlines parent AMR Corp. totaling as much as $162.4 million.

The dollar amount would be the largest ever handed down by the FAA. The agency would become a creditor of American, which filed for bankruptcy in November 2011.

Documents filed in the Court detail over 30 instances of safety violations by both American Airlines and American Eagle. Most of the violations are infractions for failure to perform repairs and aircraft being put back into flight service with inoperable equipment.

The largest claim is worth $39 million for a failure to make repairs to wiring close to the engines of a large number of the American Boeing 757 fleet. Other violations include the placing of incorrectly repaired engines on some of the Boeing 767 fleet and maintenance lapses on the Boeing MD-80 fleet.

While the fines are currently proposed, negotiations will continue for a period of time to determine the final outcome of the proposal.

About the Author

Mark Lawrence
Mark Lawrence is a NYCAviation staff member and a south Florida-based aviation fanatic. He has been around the industry since he was a small boy. Mark can be reached at [email protected]


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