Tag - Kia factory scandal

Key highlights Authorities are investigating the theft of over 1,000 car engines from Kia India’s Anantapur factory, valued at $2.3 million. Two former employees, including a section head and a team leader, are suspected of orchestrating the theft using forged invoices and manipulated gate passes. The stolen engines were reportedly sold across state lines, raising concerns about interstate criminal networks exploiting corporate infrastructure. Kia India is at the center of a massive corporate engine theft scandal, with authorities investigating the disappearance of 1,008 car engines from its Anantapur manufacturing facility. The case, first reported in March 2025, has raised concerns about internal security lapses and organized crime involvement. How the theft was discovered? The fraud came to light during a routine stock audit, which flagged irregularities in engine inventory. Kia’s internal investigation revealed that Hyundai-supplied engines were missing, prompting the company to file a police complaint. Investigators suspect that two former employees—a section head and a team leader from the engine dispatch division—collaborated with logistics coordinators and scrap dealers to transport the stolen engines using doctored gate passes and counterfeit invoices. The scale of the operation Police documents indicate that the theft was executed over three years, with stolen engines trafficked and sold across state lines, including in Delhi. The operation involved multiple trucks with fake registration numbers, making it one of the most sophisticated corporate thefts in recent history. Authorities recovered nine mobile phones containing WhatsApp chats, transport invoices, and truck photos, suggesting that the proceeds from the theft were used to clear debts, purchase property, and fund other ventures. Legal action and potential consequences One of the key suspects, Vinayagamoorthy Veluchamy, is currently in custody, while the second accused, Patan Saleem, remains untraceable. If convicted, the suspects could face up to 10 years in prison, given the high-level preplanning and internal access manipulation involved. Kia India has assured that it is strengthening its inventory management systems and reinforcing internal governance to prevent future incidents. Also read: Hyundai Verna SX+ variant launched with new features