Two former employees of Kia India are under investigation for allegedly orchestrating the theft of 1,008 engines worth $2.3 million from the automaker's factory over a three-year period, according to police investigation documents. The case has raised alarms about its "widespread impact on industrial operations, stakeholder trust and employment security," and has brought concerns about potential interstate crime networks to the forefront.

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According to news agency Reuters, Kia India initiated a police complaint in March after an internal review revealed a significant number of engines, sourced from its sister company Hyundai, were missing. The carmaker suspected a conspiracy involving current and former employees.

An initial police investigation, detailed in an April 16 document, points to two former Kia India factory workers: Vinayagamoorthy Veluchamy, 37, a former head of section in the engine dispatch, and Patan Saleem, 33, a former team leader. They are accused of illegally transporting the engines from the factory using forged invoices and manipulated gate passes.

The investigation further suggests their collaboration with at least two other individuals who facilitated transport, and two scrap dealers who helped sell the engines to buyers as far away as New Delhi.

Inspector K Raghavan, in his April 16 investigation document seen by Reuters, stated, "The entire operation involved repeated illegal transactions, use of multiple trucks bearing manipulated or pseudo registration numbers." Raghavan declined to comment on the ongoing investigation.

Kia India, in a statement to the news agency, confirmed that it identified the discrepancies last year while enhancing its inventory management processes. The company conducted an internal investigation, reported the matter to the police, and is continuing to strengthen its internal governance and monitoring systems.

The alleged engine 'disappearance' was first reported to police after a stock reconciliation in January 2025, a month after unauthorized vehicle movement was detected in factory CCTV footage. Kia's March complaint initially cited 940 missing engines.

Vinayagamoorthy Veluchamy, who left Kia in 2023, is currently under arrest and has applied for bail, denying any involvement in the alleged thefts, according to court papers. The whereabouts of Patan Saleem, who worked at the factory from 2020 to 2025, are currently unknown, and phone numbers associated with him are out of service.

While the two former employees have not yet been formally charged, they have been named as accused in the ongoing investigation. Police documents indicate that due to the "high-level preplanning, internal access manipulation," they could face a sentence of 10 years imprisonment or more under Indian laws if convicted.

Authorities have recovered nine mobile phones containing WhatsApp screenshots, transport invoices, and truck photos. The police document suggests that "the proceeds of crime were either spent on personal needs, clearing debts, purchasing immovable property or reinvested in businesses."