How 1000+ Engines Were Stolen From Kia's India Factory: Fresh Details Emerge
In a significant breach of corporate security, Kia India's manufacturing facility in Andhra Pradesh has become the focal point of an extensive investigation following the disappearance of 1,008 car engines over a three-year period. The theft, valued at approximately $2.3 million, underscores vulnerabilities in industrial operations and has raised concerns about potential inter-state criminal networks.
Discovery and Investigation
The irregularities came to light during a routine inventory review and security audit conducted by Kia India in early 2025. The company reported the discrepancies to the police in March, suspecting internal collusion.
Subsequent investigations revealed that two former employees - a team leader and a head of section in the engine dispatch department - were allegedly involved in orchestrating the thefts. They reportedly collaborated with scrap dealers and utilised forged invoices and manipulated gate passes to facilitate the illegal transportation of engines from the factory.
Although Kia Motors operates independently, it's part owned by South Korean car giant Hyundai. Most parts used in Kia cars - especially engines - are manufactured by Hyundai at Sriperumbudur, off Chennai, and then shipped to Kia's factory at Anantapur, Andhra Pradesh.
Modus Operandi
The accused are believed to have conducted the thefts in a phased and planned manner, exploiting logistical weaknesses within the facility. The stolen engines, sourced from Kia's sister company Hyundai, were transported using trucks with manipulated or pseudo registration numbers.
These engines were then sold to buyers across various cities, including New Delhi, Chennai, and Bengaluru. The proceeds from these illegal sales were allegedly used for personal expenses, debt repayment, property purchases, and business investments.
Arrests and Legal Proceedings
One of the former employees, Vinayagamoorthy Veluchamy, is currently in custody and has applied for bail, denying any involvement in the thefts. The other accused, Patan Saleem, remains untraceable, with contact numbers listed in police documents found to be inactive. While formal charges are pending, the accused could face significant legal consequences under Indian law, potentially leading to imprisonment of 10 years or more if convicted.
A Wake-Up Call for India Inc.
The theft of over 1,000 engines from Kia India's factory represents one of the most significant corporate thefts in recent history, emphasising the need for robust internal controls and vigilant oversight.
The sale of engines clandestinely can have huge security implications. Cars fitted with such engines can be used for various crimes. Also, there have been cases of many stolen engines being used to power small boats, which are used for smuggling activities on India's vast coastline. So, it's imperative that all engines produced are accounted for, especially when it comes to end-use patterns.
As investigations continue, authorities are working to dismantle the broader network involved in this operation, aiming to restore stakeholder trust and ensure the integrity of industrial operations. This case could well serve as a cautionary tale for other manufacturers operating in India to re-evaluate their security protocols and guard against internal sabotage.