A system is disclosed that provides an improvement in detecting a faulty hydrophone channel in a hydrophone array. The disclosed technique operates on pairs of hydrophones or, to generalize, on groups of two or more hydrophones; this is in contrast with operating on only one hydrophone at a time. As a result, the technique is able to use correlation data from the multiple hydrophones, in order to detect a fault. The technique also operates on received echo signal information that is associated with ongoing SONAR solution processing. The use of the relatively deterministic, echo signal information further enhances the performance. By using correlation products made up of the received echo signal information, the disclosed technique is able to leverage the SONAR solution processing that already relies upon the hydrophone array, such as spatial or temporal correlation SONAR, thereby reducing the additional processing incurred. Once a failed hydrophone channel has been identified, it is then excluded from the ongoing SONAR solution processing.