United cancels flights and grounds 777s

By John Crawley

WASHINGTON (Reuters) - United Airlines, a unit of UAL (UAUA.O), on Wednesday became the latest major U.S. carrier to ground planes and cancel flights due to questions over aircraft safety checks and maintenance.

United grounded its fleet of 52 Boeing (BA.N) 777s and cancelled 38 flights after disclosing to the Federal Aviation Administration (FAA) overnight that it did not complete all steps when testing a fire suppression system in the cargo hold. There was conflicting information late in the day about whether extra work was even required.

The disclosure comes just ahead of a congressional hearing on airline inspection practices and the adequacy of FAA oversight.

Four of United's rivals have in recent weeks sidelined aircraft and cancelled flights for missed inspections and other safety problems.

Southwest Airlines (LUV.N) faces an FAA fine of up to $10.2 million (5.1 million pounds) for knowingly operating aircraft that were not in compliance with an agency order to check for fuselage cracks. Cracks were found in some planes after the lapse was disclosed.

Southwest chief executive Gary Kelly is scheduled to testify on Thursday before the House of Representatives Transportation Committee on why the airline missed inspections and the subsequent decision by top level maintenance personal to keep planes in the air. The case was prompted by whistle-blower complaints to the panel.

"There is a lack of an enforcement mindset at the FAA," said Democratic Rep. James Oberstar of Minnesota, who has led the investigation into Southwest and will chair the hearing.

Senior FAA officials will testify about the agency's role. They will also address allegations the FAA has become cosy with airlines and assertions the system that allows carriers to self-report maintenance problems is open to abuse. Southwest and FAA personnel involved in the matter in Dallas, where the airline in based, have been removed from their jobs.