ROURKELA: Multiple dozens of used cars vanishing from the stockyard of an authorised Kia Motors dealer in Rourkela have brought to light a scam the volume of which could be to the tune of Rs 4 crore.
The used vehicles were received as part of exchange offers for sale of Kia brand of cars. A preliminary claim suggested that 50-60 used cars disappeared from the showroom’s stockyard at Vedvyas under Brahmani Tarang (BT) police limits here.
The authorised dealer blamed a well-knit racket of its former employees and police on Thursday arrested 47-year-old Md Daud charging him with selling the used cars in connivance with others.
Based on a complaint filed by Rishab Agarwal, partner of Sheeta Auto Cares, a limited liability partnership (LLP) and authorised dealer of Kia Motors, a case under sections 306, 316 (2), 336 (2), 336 (3), 339 and 314 of BNS was registered on February 25.
According to Rishab’s complaint, the dealer made detailed verification of books of accounts, sales ledgers and stocks which led to the missing used cars with manipulation of amounts and bank statements. The scam came to their notice during December 2024 and after an internal inquiry, a police complaint was filed.
Rishab claimed those part of the racket carried out forgery which took place between mid-2022 and mid-2024 with alleged involvement of executives in the rank of general manager, sales manager, exchange manager, chartered accountant, accounts head as well as cashier.
These employees, he claimed, had quit jobs between April and May 2024.
Asked how the shortage of 50-60 used cars went unnoticed from the stockyard, Rishab’s father and authorised signatory in the LLP Dilip Agarwal claimed it appeared to have been carried out meticulously. Every month 25 to 30 new Kia vehicles were sold with a good number of used cars/SUV coming through in exchange. It seems two to three used cars were clandestinely sold from the stockyard.
Since the stockyard used to house used, accident claim and new vehicles, clandestine dispersal in a small number skipped their notice, he added.
Rourkela SP Nitesh Wadhwani said Daud has been arrested and as of now, it is ascertained that the arrested person in connivance with other employees of the showroom committed the crime. He said more arrests are expected.
Police also recovered and seized nine used cars of different makes including Renault, Maruti Suzuki, Force and Hyundai and related transactions worth Rs 29.50 lakh.