Schaeffler India CEO Harsha Kadam taken into police custody over Pune factory accident

Schaeffler India Chief Executive Officer and Managing Director Harsha Gopal Kadam has been taken into police custody by Maharashtra authorities in connection with a fatal workplace accident that occurred at the company's Talegaon plant in June.

Officers from the Talegaon MIDC Police Station took Kadam into custody at approximately 6.40 p.m. on 19 October, the automotive and industrial components supplier disclosed in an exchange filing. The move follows an expanded police inquiry into the deaths of two contract workers who died during scheduled plant maintenance.

What happened at the Talegaon factory

The incident took place on 9 June at Schaeffler India's manufacturing facility in Talegaon, near Pune. Two workers engaged by an external service provider were carrying out a scheduled gas cylinder replacement when a sudden discharge of carbon dioxide gas occurred. Both workers died as a result of the exposure.

Following preliminary inquiries into the workplace accident, investigators broadened the probe to include Kadam in his statutory capacity. The company stated that the scope of the police investigation was expanded to cover him on the legal ground that he serves as the designated "occupier" of the factory premises under Indian industrial safety laws.

Why Indian law holds company heads accountable

Under Section 2(n) of the Factories Act, 1948, industrial enterprises must designate one of their directors as the occupier, establishing ultimate administrative responsibility for plant safety and compliance. Section 7A of the statute mandates that the occupier must ensure the health, safety, and general welfare of all personnel on site, including contract staff, through regular supervision and safe operating protocols.

While an occupier designation fixes statutory responsibility, it does not by itself establish criminal guilt. Investigators must determine whether lapses amounted to actionable negligence under criminal law. Schaeffler India noted that authorities have not disclosed the specific penal provisions invoked against Kadam.

Plant operations and corporate response

Schaeffler India supplies key Tier-1 powertrain, chassis, and bearing systems to vehicle manufacturers, including Tata Motors, Maruti Suzuki, Mahindra & Mahindra, and Hyundai Motor India. Its manufacturing footprint produces components under the LuK, INA, and FAG brands across passenger, commercial, and agricultural vehicle segments.

In its regulatory statement, the company said its leadership and personnel have fully assisted authorities throughout the investigation and will continue to cooperate with the ongoing inquiry. Senior management remains in operational control, and day-to-day manufacturing activities are proceeding in their ordinary course as legal advisers review the police action.