The US Federal Aviation Administration has grounded low-fare airline Pro Air, citing its failure to correct maintenance, oversight, quality control and record-keeping deficiencies.

The struggling three-year-old private airline, operating from a hub at Detroit City Airport, was created to compete with Northwest Airlines. It is appealing against the US agency's decision to revoke its operating certificate because of "widespread failures" to follow federal aviation regulations.

Seattle-based Pro Air, which operated three Boeing 737s, says that it believes the order was issued erroneously and based on incorrect and outdated information. The FAA took the action after the maintenance problems turned up in a June audit and were not corrected.

Pro Air lost $10 million in its second quarter, and has never made a profit. In June, it dropped unprofitable routes, laying off nearly 100 workers, but continued serving Chicago, Atlanta, New York, Baltimore and Orlando.

Source: Flight International