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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.

Toyo Tires has made its way to the annual A-List of CDP for its climate change mitigation efforts. This premier recognition, awarded for the first time to the company in the 2025 evaluation, reflects the company’s comprehensive decarbonisation efforts, which include validated science-based targets for cutting greenhouse gas emissions and a shift towards renewable energy at its production sites. CDP’s annual assessment is a key benchmark for corporate sustainability across climate, water and forests.

The assessment also highlighted Toyo Tires' commitment to transparency, as verified by independent third-party data reviews. Viewing its business activities as intrinsically connected to society and the future, the Toyo Tires Group treats reducing environmental impact as a top operational priority.

Moving forward, the company is dedicated to advancing decarbonization across all its manufacturing processes and broader supply chain, aiming to support a sustainable global society.

Apollo Tyres Ltd has introduced a new and more affordable range of gravel tyres under the Vredestein Aventura Core Series. This new-generation family consists of three distinct models: the Aventura Seta Core, Aventura Core and Aventura Grezzo Core. Engineered in Europe, these tyres are built for enhanced durability and dependable performance across diverse surfaces, offering riders a cost-effective upgrade for adventure biking.

The series is constructed around a streamlined Core platform, which incorporates a robust 60 TPI casing for increased puncture resistance and stable handling on uneven terrain. While utilising the proven tread patterns of existing Vredestein gravel tyres, this refined construction delivers high-end capability at a more accessible price point.

Each model is tailored for specific riding conditions. The Aventura Seta Core is designed for speed, with a race-optimised tread for fast rolling on asphalt and high-speed gravel, complemented by shoulder knobs for technical cornering. For versatile, everyday use, the Aventura Core offers a balanced blend of rolling efficiency and predictable grip across tarmac, hardpack and gravel roads. Finally, the Aventura Grezzo Core provides confidence on loose and rugged terrain, featuring an aggressive tread for enhanced traction in sand and soft surfaces, while its chained centre tread maintains efficiency on harder ground.

The Aventura Core Series will be available starting 1 February 2026. The Aventura Seta Core comes in 40, 45 and 50-622 sizes. The Aventura Core is offered in 50-584 and 40, 45, 50-622 sizes. The Aventura Grezzo Core is available in 50-584 and 40, 45, 50-622 sizes. Colour options include black/black and black/transparent sidewalls.

Nic Knippers, Division Head – Vredestein Two Wheel Tyres, Apollo Tyres Ltd, said, “The Aventura Core Series marks an important expansion of our gravel offering within the Vredestein range. By introducing three purpose-designed tyres built on a shared durable foundation, we can better support riders across the full spectrum of gravel terrain – from high-speed racing to off-road exploration and everyday mixed-surface riding.”

Continental Tires Americas has expanded its HDR 5 and HSR 5 19.5-inch product lines with a new 245/70R19.5 size, specifically engineered for urban and regional delivery fleets.

These tyres are built to endure high-scrub environments and the demanding stop-and-go cycles typical of city routes. Key advancements include a reformulated tread compound that reduces rolling resistance for better fuel economy while also extending tread life. The redesigned sidewall enhances durability to support multiple retreads, maximising the value of each tyre casing. Furthermore, both models are validated for use on electric and hybrid vehicles, as well as traditional combustion engines.

This size extension provides a practical option for fleets seeking to improve operational cost-efficiency and tyre longevity under rigorous driving conditions, continuing the proven performance of the existing series with targeted upgrades.

The Silver Jubilee of the National Institute for Rubber Training (NIRT) commenced on the morning of 9 January 2026 at Kottayam's Hevea Hall. Union Minister of State George Kurian formally inaugurated the event, with Member of Parliament K Francis George presiding. Attendees also heard an address from MLA Chandi Oommen.

A wide array of activities marked the inaugural programme. These included unveiling a commemorative monument, honouring former NIRT Directors and recognising student cohorts. Several publications and materials were launched, such as a Silver Jubilee souvenir and tutorial videos for stakeholders. The new jubilee logo was revealed, and a memorandum of understanding was signed between the Rubber Board and the Government of Nagaland.

The ceremony further involved prize distributions for earlier competitions and celebrated the Diamond Jubilee of Rubber magazine. The day's schedule continued with a curated panel discussion and a dedicated exhibition at the NIRT campus.