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Low reliability and cumbersome calibration procedures for commercially available drill breakage detection system were the drivers for the development of a robust system which utilizes time and frequency domain analysis of vibration signatures from the spindle housing. Self learning capabilities in calibration and generic, multidiscriminant based decision making are the novel features of a system proven successful in single spindle applications1. However, use of a single sensor to monitor drill breakage in multi spindle station in a high volume manufacturing operation requires signal enhancement strategies to decipher similar signatures sensed from different spindles. Complexity of the problem increases if the station is one of the several stations in a dial machine, because one needs to consider the transmissivity characteristics between stations installed on a common rotary table.