ATW Daily News
FAA upholds $10.2 million fine against SWA, says pay by Aug. 29
Tuesday August 19, 2008US FAA told Southwest Airlines that it is upholding a proposed $10.2 million fine for operating 46 737 Classics for nine days in March 2007 after it had disclosed to the agency that the aircraft were in noncompliance with an airworthiness directive and is seeking payment by Aug. 29.
The penalty would mark the largest ever collected by FAA from an airline for a safety violation. SWA wanted the fine to be reduced because the agency acknowledged that an official at its Dallas area office told the LCC it could operate the aircraft (ATWOnline, April 9).
FAA removed the official from his post and has acknowledged errors in its oversight of SWA. Dept. of Transportation Inspector General Calvin Scovel issued a scathing report earlier this summer in which he accused the agency of "serious lapses" in its regulatory oversight of the airline (ATWOnline, July 3).
FAA traditionally has lowered its proposed fines after carriers make changes in their safety programs and promise future compliance, as SWA has done. SWA said it is reviewing the agency's decision to uphold the fine and declined further comment.
Despite criticism of FAA's performance, the LCC does not appear to be in a strong position to fight the penalty because Chairman and CEO Gary Kelly told Congress it "was clearly a mistake" to operate the aircraft and a "black eye" for SWA. He insisted, however, that "safety of flight" was not compromised.
by Aaron Karp
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