Photo Credit: Shutter Stok

Investigation reveals coordinated theft by contractors and employees through bulk pilferage and excess loading schemes

Goodyear India Limited disclosed that a comprehensive investigation by Ernst & Young uncovered a sophisticated theft operation at its Ballabgarh manufacturing plant, resulting in the loss of 4,571 tyres valued at approximately INR 39.11 million.

The tyre manufacturer’s board reviewed the investigative findings during a meeting that concluded last week, revealing what the company described as “potential theft of tyres in bulk by contractual workers involved in security, warehousing and loading operations, acting in collusion.”

Dual Theft Operations Exposed

The Ernst & Young investigation, spanning October 2023 to November 2024, identified two primary theft methods that enabled the systematic pilferage of farm tyres from the Faridabad-based facility.

Bulk Theft Scheme: The more significant operation involved truckloads of tyres being removed from the plant through coordination between third-party loading supervisors, warehouse workers, security guards, and external accomplices. Electronic communications reviewed by investigators revealed references to 4,057 tyres across 20 dates between July and December 2024, with detailed SKU counts discussed among the conspirators.

Security records were deliberately manipulated to conceal the theft, with one security contractor admitting to accepting kickbacks from a loading supervisor to avoid recording truck details carrying stolen merchandise.

Excess Loading Operation: A secondary scheme involved loading additional tyres beyond invoiced quantities onto legitimate shipments, with the excess stolen during transit. The investigation revealed a significant increase in overweight dispatches during the July-November 2024 period, with 50 per cent of overweight trucks dispatched during this timeframe, compared to historical patterns.

Quality assurance protocols were compromised, with one employee admitting to receiving instructions from a third-party warehouse vendor to disregard overweight trucks and dispatch them without conducting mandatory quality studies. The employee estimated that 5-6 excess tyres were loaded per truck in select shipments to Goodyear warehouses.

Quality Control Manipulation

The investigation also uncovered systematic inflation of tyre rejection quantities during pre-dispatch inspections. A quality assurance employee acknowledged receiving kickbacks to artificially inflate rejected tyre counts in daily reports, despite no physical rejections having occurred, allegedly to help manage inventory shortfalls maintained by the third-party warehouse vendor.

Data analysis revealed an increase in rejection rates in 2024 compared to 2023, with the manipulation involving collusion between employees and third-party quality inspectors.

Operational Control Gaps

Beyond the theft schemes, Ernst & Young identified significant weaknesses in Goodyear’s inventory management and production processes. The manual production handover system lacked proper verification, with multiple employees admitting that the defined processes weren’t followed.

Production records maintained manually revealed discrepancies, with multiple spreadsheets containing different production numbers for the same periods. The investigation found that production during shutdown periods wasn’t recorded in the Production Management Information System, creating variances that couldn’t be validated due to unreliable manual records.

Financial Impact and Response

The financial impact of the inventory shortage identified in November 2024 was already recognised in Goodyear India’s financial statements for the quarter ended 31 December 2024. “The management has taken cognisance of the findings and initiated appropriate legal and disciplinary actions against those involved,” the company stated in its regulatory filing. “Proactive measures, including a site security assessment and tightened controls, have been implemented.”

Investigation Methodology

Ernst & Young’s fact-finding review employed comprehensive investigative techniques, including data analytics, transaction testing, background checks on suspected third parties, forensic imaging of electronic devices, and interviews with employees and contractual workers.

The investigation covered electronically stored information from the laptops and server backups of suspected individuals, utilising keyword-based searches to identify suspicious communications that proved crucial in establishing the theft patterns.

Regulatory Compliance

The disclosure fulfils Goodyear India’s obligations under Regulation 30 of the Securities and Exchange Board of India’s Listing Obligations and Disclosure Requirements Regulations, 2015. The company initially informed stock exchanges of the inventory variance on 12 February 2025.

“The Company remains committed to upholding the highest standards of corporate governance and safeguarding stakeholder interests,” Goodyear India stated in its filing.

Comments (0)

ADD COMMENT

Link Copied!

Oak Group Holdings has reaffirmed its strategic growth ambitions following a transformative business update centred on the acquisition of Exhaust, Tyres and Batteries (ETB). The move makes Oak the sole owner of ETB, adding two wholesale sites and 52 retail shops across the Midlands, Wales and Southwest England to its existing portfolio.

With the acquisition complete, Oak is now prioritising improvements to stock availability throughout the ETB network to align with the high service standards characteristic of the family-run enterprise. Supporting this effort is the launch of Oak’s new 155,150 square feet storage and distribution hub in Newport, which can hold over 250,000 tyres. A dedicated fleet of heavy goods vehicles will enhance service and product access for brand dealers across the southwest and South Wales.

Financial and tax advisory services for the deal were provided by Grant Thornton, covering corporate finance and due diligence. Legal counsel was led by Michael Hudson of DLA Piper, while CG Professional, under managing partner Louise Myers, handled all employment aspects of the acquisition and continues to support Oak Group Holdings on a retained basis post-transaction.

Peter Cross, Commercial Director, Oak Tyres, said, “The first quarter of 2026 has been transformational for our family business in many ways. We have grown our wholesale network even further and we are working with the fantastic team at ETB to develop the service offer and stock availability to the retail trade across the region. We are committed to ensuring these developments enhance the quality service we always strive to deliver for our customers.”

Mike Tillson, Partner at Grant Thornton Corporate Finance, said: “It’s been a pleasure to work with Oak and the Cross family on this exciting and transformational acquisition. We are sure that the combined Group will go from strength to strength and that ETB will be successful into the future under their ownership.”

Comments (0)

ADD COMMENT

Link Copied!

Michelin has inaugurated PolMixLab, a new associated research laboratory (LabCom), on 22 April 2026, in collaboration with the National Centre for Scientific Research (CNRS), INSA Lyon, Lyon 1 University and Jean Monnet University. The primary objective of the joint initiative is to invent the rubber of the future by accelerating innovation in polymer materials for multiple industrial uses. The partnership leverages the combined scientific and industrial expertise of all parties to balance performance, durability, and energy efficiency.

Against a backdrop of ecological transition and rising industrial demands, polymer materials like elastomers are a critical research frontier. Their applications span automotive, aeronautics, healthcare and construction, requiring continuous improvements in durability, recyclability, energy sobriety and advanced functionality. To address these challenges, research teams from the Polymer Materials Engineering Laboratory – representing the CNRS, INSA Lyon, Lyon 1 University and Jean Monnet University – have joined forces with Michelin to develop next-generation polymer materials.

Academic and industrial researchers will pursue three main goals over the course of four years. The first involves reducing manufacturing energy for elastomers through digital simulation and improved blend quality. The second focuses on creating new elastomers that exceed current performance limits via innovative structures. The third aims to boost environmental performance by integrating short-loop recycling directly into the polymer formulation phase. The resulting rubbers are intended for strategic applications in mobility, medical devices, aeronautics and high-performance industrial equipment.

PolMixLab represents a structural initiative rooted in Michelin’s 130 years of materials science expertise, spanning chemistry, material transformation, composite design and use-case knowledge from basic research to industrialization. The laboratory marks the 10th active associated research laboratory between the CNRS and Michelin, underscoring a long-term commitment to reducing carbon footprints, extending material lifespans and optimising performance for contemporary industrial and environmental needs.

Mehdi Gmar, Chief Innovation Officer, CNRS, said, “The CNRS is pleased with the creation of PolMixLab, a new associated research laboratory with Michelin, a leading partner with which it has a longstanding relation of trust since the 1990s, one that is structured by a framework-agreement renewed multiple times and nearly forty collaborations each year. This associated research laboratory, which also includes INSA Lyon, Lyon 1 University and Jean Monnet University, marks a new stage in this cooperation by developing polymer materials that offer higher performance, and are more recyclable and sober in energy.”

Christophe Moriceau, VP – Advanced Research, Michelin Group, said, “With PolMixLab, Michelin is strengthening its ability to anticipate and accompany major industrial and environmental issues connected to materials. By combining our unparalleled expertise in materials science and polymer composites with the academic excellence of our partners, we strive to invent rubbers that offer higher performance and are more durable and sober in energy. This research indeed includes the development of materials from biosourced resources, as well as control over material life cycle assessment, with a view to creating innovative solutions offering reduced environmental impact in the service of mobility, along with numerous industrial applications beyond tyres.”

Bruno Lina, President, Lyon 1 University, said, “PolMixLab illustrates the capacity of Lyon 1 University to develop structural research partnerships where scientific excellence meets industrial and environmental issues. By mobilising our expertise in materials science alongside our academic partners and Michelin, we help develop innovative solutions for materials that offer higher performance and are more suitable for the uses of the future.”

Comments (0)

ADD COMMENT

Link Copied!

Hankook Tire, the exclusive tyre supplier to the FIA World Rally Championship (WRC), is supporting Round 5 of the 2026 WRC season, Rally Islas Canarias, taking place from 23 to 26 April across Spain’s Canary Islands. For the event, Hankook is providing its Ventus Z215 and Ventus Z210 tarmac rally tyres, with the former engineered for precise handling on abrasive asphalt and the latter designed for wet-road traction and water evacuation.

Celebrating its 50th anniversary in 2026, Rally Islas Canarias returned as an official WRC round for the second consecutive year after joining the calendar for the first time the previous season. Based on Gran Canaria Island, home to the capital Las Palmas, the rally featured 18 special stages covering a competitive distance of 322.61 kilometres, all on asphalt. The opening day’s highlight was the Super Special Stage at the BP Ultimate - Circuito Islas Canarias, where drivers competed in a head-to-head time-attack format.

Regarded as one of the championship’s most iconic tarmac events, the rally is defined by the abrasive, high-grip asphalt and dramatic elevation changes of Gran Canaria’s volcanic terrain. While the consistent surface grip allows circuit-like, high-speed precision driving, it also subjects tyres to intense physical stress. Maintaining grip under high surface temperatures and adapting to unpredictable mountain weather is expected to make tyre performance a decisive factor in the rally’s outcome.

Since the 2025 season, Hankook has served as the exclusive tyre supplier for all WRC classes, reinforcing its role as a key technical partner in global motorsport. By leveraging data from top-tier series such as the ABB FIA Formula E World Championship and the WRC, alongside advanced R&D infrastructure, Hankook continues to drive innovation in high-performance tyre technology while strengthening its global premium brand position.

Comments (0)

ADD COMMENT

Link Copied!

Continental is providing comprehensive tyre support to Royal Den Hartogh Logistics, a Dutch family-owned leader in container-based bulk transport for the chemical and food industries. With a history of collaboration exceeding 60 years, the tyre manufacturer now supplies professional tyre management and rolling resistance optimised tyres from the Conti Eco Gen 5 family to the logistics firm’s European fleet of over 900 vehicles.

Peter Rodenburg, Senior Technical Manager at Den Hartogh, has identified safety, costs and the energy transition as the biggest challenges in the company’s Europe wide operations. His assessment highlights the need for more fuel-efficient driving and emission reductions. Meanwhile, Hinnerk Kaiser, Head of Product Development for Bus and Truck Tires at Continental, notes that the fifth generation of the Conti Eco tyre family is specifically designed to address transport sector customer needs and Europe’s dynamic regulatory environment.

The vehicle fleet operates across Europe with the latest generation tyres, supported by Continental’s Pull Point tyre monitoring, breakdown analysis and cost evaluation. Rodenburg has confirmed that the Eco tyre’s optimisation for rolling resistance delivers significant benefits in fuel efficiency and overall performance. The Conti Eco HD 5 has demonstrated its value in both fuel economy and mileage while also performing reliably under varying road and weather conditions.

Rodenburg has reported that after one year of joint fleet monitoring, the first impression of tyre performance and wear is positive. The switch to this tyre, combined with other vehicle optimisations, has yielded measurable cost savings. He states that with the complete package in place, the company has seen significant improvements in average fuel consumption of up to eight percent, making the move to the Conti Eco HD 5 a positive decision.

Looking ahead, Rodenburg acknowledges that the energy transition is taking shape, though the speed of fleet electrification remains uncertain. He emphasises that energy is becoming more expensive and must be used as efficiently as possible, with rolling resistance and air resistance representing losses to be minimised. An optimal tyre, he concludes, brings measurable benefits at every stage of the fleet’s transformation, an area where the rolling resistance optimised Conti Eco Gen 5 excels in contributing to fleet optimisation.

Comments (0)

ADD COMMENT

Link Copied!