An induction motor abnormality monitoring system using power line signal analysis is developed in this work. Various studies have focused their attention on the detection of particular harmonic frequencies produced from each defect mode of motors. However, these harmonic frequencies are valuable only when the motor has a continuous slip frequency and operate in constant torque/load condition. The basic concept of the system developed in this work is to detect the characteristic harmonic frequencies occurred when the motor is in abnormal state and to compare it with a predetermined setpoint. Based on these analyses, the place and degree of defect can be easily identified. The experimental results under test bench simulation are also introduced. To find out an alternative way to obtain a threshold level independent of slip/torque, with the rotating field theory, the ratio between harmonic current and total current was calculated with the simplified circuit that is equivalent to two abnormal cases, such as the spatial rotor resistance variation and the symmetrical components changes with field. Also, the threshold level calculation was done with performed the rotating field theory. The results show that they are in good agreement with a experimental results. Further studies are undertaken to extend this work to the on-line monitoring and diagnostic system with a likelihood ratio test method for field application.