Not many comments. so I'll jump in. Some additional inspection is in order to verify the extent of the damage, but Dennis is almost certainly right: you've probably thrown a rod. This happens, even with the best engines, but very rarely. If you have indeed thrown a rod and the broken end punched through the block (and probably the pan), you are better off with a known good engine than trying to fix one with undetermined (but serious) damage. I assume the dealer is talking $3K plus parts and labor to install so it is serious money. You might try some other dealers, but (unlike wrecked cars) good used tractor engines are rare. I have not heard of Kioti helping in such cases but it doesn't hurt to ask. But I'm afraid you are in a hard place here.