FCM(Fuzzy Cognitive Map) is proposed for representing causal reasoning. Its structure allows systematic causal reasoning through a forward inference. Authors have already proposed a diagnostic system based on FCM to utilized to identify the true origin of fault by on-line pattern diagnosis. In FCM based fault diagnosis, Temporal Associative Memories (TAM) recall of FCM is utilized to identify the true origin of fault by on-line pattern match where predicted pattern sequences obtained from TAM recall of fault FCM models are compared with actually observed ones. In engineering processes, the propagation delays are induced by the dynamics of processes and may vary with variables involved. However, disregarding such propagation delays in FCM-based fault diagnosis may lead to erroneous diagnostic results. To solve the problem, a concept of FTCM(Fuzzy Time Cognitive Map) is introduced into FCM-based fault diagnosis in this work. Expecially, translation method of FTCM makes it possible to diagnose the fault for some discrete time. Simulation studies through two-tank system is carried out to verify the effectiveness of the proposed diagnostic scheme.