FAA Issues Counterfeit Bearing Alert

FAA Issues Counterfeit Bearing Alert The United States Federal Aviation Administration has issued an Unapproved Parts Notification Bulletin, NOTC0763, exposing counterfeit bearings. FAA UPNB 2006-00097 Hill Industries of Chatsworth, California is implicated in the scheme. At issue are critical tail rotor hanger bearings for Bell Helicopter Textron models 204, 205, 212, and UH-1. The FAA's Suspected Unapproved Parts Program Office alleges Hill Aviation counterfeited and then sold an unknown number of the tail rotor hangar bearings: Information received during an FAA suspected unapproved parts investigation revealed that Hill Industries, 19734 Dearborn Street, Chatsworth CA 91311, sold unapproved tail rotor hangar bearings. Hill also represented the bearings as Bell Helicopter Textron approved. Evidence indicates that Hill, without Bell Helicopter Textron approval, electro-etched two different Bell Helicopter Textron part numbers on the unapproved bearings. The two part numbers are 204-040-623-003 and 204-040-623-005. However, some bearings are marked with both part numbers, and others are marked with 204-040-623-3 and/or 204-040-623-5. Unlike most other applications, the aircraft industry is tightly regulated by the FAA, down to the individual component level. Every aircraft must go through a rigorous process to achieve Type Certification of airworthiness from the FAA. This Type Certification not only applies to the aircraft, but also every single component, down to the bearings, nuts, and bolts, which go into a specific aircraft. Suppliers are only approved on a part-by-part basis, and FAA-approved suppliers cannot simply source any bearing which fits a particular application -- it must be the exact bearing and source laid out in the Type Certification. Alternate parts and sourcing can be developed, but they must then be individually type-certified. The FAA notice states: Regulations require that type-certified products conform to their type design. Aircraft owners, operators, manufacturers, maintenance organizations, and parts suppliers and distributors are encouraged to inspect their aircraft and/or parts inventories for the referenced part numbers. If these bearings are found in existing inventory, it is recommended that they be quarantined to prevent installation until a determination can be made regarding their origin and eligibility for installation. The FAA's investigation and notification stems from a March 2005 lawsuit filed by Bell Helicopter against Hill Industries and it affiliate, Logistical Support Inc. (OTC: LGSL). The two split in June 2005 with LGSL Director Harry Lebovitz leaving the company and setting up Hill Industries separately. In the suit, in U.S. District Court for the Central District of California (CV 05-1305), Bell charged Hill and Logistical Support with delivering unapproved parts marked as Bell Helicopter parts and delivering an improper compliance certificate. Logistical Support signed a nonfinancial settlement and dismissal in May 2005, but was still subject to the FAA investigation triggered. The FAA's notice goes on to request information: In addition to the above recommendations, the FAA would appreciate any information concerning the discovery of the above-referenced bearings from any source, the means used to identify the source, and the actions taken to remove the bearings from aircraft and/or parts inventories. FAA contact information in this matter is: FAA Van Nuys Manufacturing Inspection District Office 7120 Hayvenhurst Ave, Suite 100 Van Nuys, CA 91406 FAA Suspected Unapproved Parts Program Office phone: 703 - 668 - 3720 fax: 703 - 481 - 3002