Rajesh Exports Extends Slide, Sheds Nearly 27% Since SEBI Interim Order

Rajesh Exports shares remained under pressure on June 12, hitting the 5% lower circuit for the sixth consecutive trading session as investors continued to react to SEBI’s interim order issued earlier this month. The stock has declined 26.88% since June 3, falling from ₹109.99 to ₹80.43 apiece on the NSE.

The latest round of selling followed remarks by Chairman and Managing Director Rajesh Mehta, who said the company would not challenge the Securities and Exchange Board of India’s interim findings and would continue cooperating with the ongoing investigation.

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The stock was locked at its lower circuit limit of ₹80.43 during Thursday’s trade, extending losses that began after SEBI’s order raised concerns over the company’s reported financials.

SEBI Flags Alleged Revenue Inflation

In its interim order dated June 3, SEBI alleged that Rajesh Exports overstated consolidated revenue by approximately ₹15.15 lakh crore between FY21 and FY25. The regulator said a substantial portion of the reported revenue was attributed to overseas subsidiaries, particularly Switzerland-based Valcambi SA, while audited standalone financial statements of those entities reflected significantly lower figures.

SEBI also expressed concern over what it described as a prima facie misrepresentation of the company’s financial position, noting that a large majority of the group’s reported revenue originated from overseas entities whose detailed financial statements were not publicly available.

The regulator’s order did not impose any business restrictions on the company but initiated further scrutiny of its disclosures and accounting practices.

Company Says It Is Cooperating With Probe

Speaking to PTI and the Times of India, Rajesh Mehta said the company was fully cooperating with SEBI and had no intention of contesting the interim order.

He stated that Rajesh Exports had submitted all information sought by the regulator and would continue to provide documents required during the investigation. Mehta added that the company and its executives had already shared between 40,000 and 50,000 documents along with more than 300 GB of data as part of the review process.

According to the company, SEBI’s observations stem from differences in the interpretation of its business model. Rajesh Exports said a significant share of consolidated revenue is generated by Valcambi, which operates in the global bullion refining and trading business.

Focus Remains On Regulatory Outcome

Rajesh Exports has maintained in exchange filings that the interim order contains observations and suspicions rather than final findings. The company has also stated that neither it nor its employees were involved in any wrongdoing or misrepresentation.

With the stock continuing to hit lower circuits and investors awaiting further regulatory developments, market attention remains firmly on SEBI’s investigation and the company’s response to the allegations.