Kokuyo Camlin Limited — Others, 12-02-2025: Final forensic audit report

Kokuyo Camlin Limited's Board has noted the report from PricewaterhouseCoopers regarding irregularities in inventory management at one of its factories, revealing a potential fraud impact of ₹21.44 crore. The forensic audit identified employee collusion, manipulation of production records, and kickbacks from vendors, culminating in fraudulent entries, leading to an inventory variance of approximately ₹15.11 crore. Management intends to take disciplinary actions, enhance operational controls, and work with an external SAP consultant to strengthen procedures. This situation presents a potential risk for shareholders, but the company’s proactive steps towards improving governance may foster a more secure operational environment and a positive outlook moving forward.