This paper presents a method of detection localized defects on tapered roller bearing in main spindle of machine tool system. The feature vectors, i.e. statistical parameters, in time-domain analysis technique have been calculated to extract useful features from acoustic emission signals. These feature vectors are used as the input feature of an neural network to classify and detect bearing defects. As a results, the detection of bearing defect conditions could be sucessfully performed by using an neural network with statistical parameters of acoustic emission signals.