FAA Revokes Helicopter Repair Company's License

PHOENIX - A Mesa helicopter repair company had its license revoked Thursday by the Federal Aviation Administration for allegedly performing improper repairs and falsifying maintenance records, a move that is very unusual for the FAA.

The emergency action against Phoenix Heliparts Inc. came after the company was unable to bring its operations up to minimum standards, FAA spokesman Ian Gregor said. An emergency revocation means the company must shut down operations immediately under that license.

Phoenix Heliparts President Tina Cannon said that this is a big misunderstand and that she's completely "floored" by the FAA action

She said the company has been operating under licenses held by its mechanics and will continue to do so while it appeals the FAA action. She said that the problems occurred two years ago were addressed.

FAA inspectors found numerous problems with the company's work during an August 2008 inspection, the agency said. They allege that the company's mechanics used incorrect parts, failed to follow repair manuals, and made false entries in repair logs.

During a follow-up inspection the following month, FAA inspectors found hundreds of other discrepancies, including unserviceable parts labeled as serviceable and kept for reuse and failures to document maintenance work and inspections.

"Safety is not optional for aviation companies. Whether repairing airplanes or helicopters, repair stations are required to follow maintenance rules and procedures," FAA Administrator Randy Babbitt said in a statement.

The FAA also alleged that company employees deliberately falsified maintenance forms, including authorizing more than 100 parts to be put back in service when they had not been inspected.

"The accusations center around events that took place over two years ago when the company was under different management," Cannon told the AP. "The company has addressed all concerns under direction of counsel for over a year now and was reissued its certificate after standing down."

The company, partly owned by Cannon, cannot operate as a repair facility, but Gregor acknowledged its mechanics can continue to work under their own licenses.

But Gregor disputed that the company had been reissued an "air agency certificate," the formal name for the license revoked on Thursday. "They do not have an air repair station certificate," Gregor said.

The FAA allegations include an incident where the company performed major restoration work on a damaged Hughes 369 helicopter owned by the U.S. Department of Agriculture. Another company hired by the USDA to inspect the helicopter before it returned to service found more than 30 discrepancies.

Gregor said the agency rarely issues emergency revocations, instead working with repair stations to bring them into compliance with FAA regulations. In this case, he said, "given the severity of the problems, I don't think anyone should be surprised by a revocation."

Phoenix Heliparts specializes in repairs and overhauls of MD 500-series light helicopters.