Rajesh Exports: 'Equal to India’s 20%…how's this possible' - Ritesh Jain on alleged Rs 15 lakh cr numbers mismatch
According to the details outlined in the SEBI order, the regulator found that the company prima facie inflated its revenue by Rs 15.15 lakh crore between FY 2020-21 and FY 2024-25.
- Jun 5, 2026,
- Updated Jun 5, 2026 10:15 AM IST
The large scale of the alleged financial manipulation at Rajesh Exports Ltd has alarmed the financial community. Following an interim order by the Securities and Exchange Board of India (SEBI), market experts are finding it hard to digest the sheer magnitude of the figures.
Ritesh Jain, the founder of US-based Pinetree Macro, shared a post on X on Thursday to express his concern over the market regulator's findings, highlighting the macroeconomic implications. Resharing a Reuters Asia post regarding SEBI uncovering $158 billion in misrepresented figures at the company, Jain raised a question about the wider trade numbers.
Jain wrote, "Equal to India”s 20% annual export value." He further said, "Does that mean that India”s exports are overvalued to the tune of $158 billion cumulatively over years.How is this possible?"
Rajesh Exports SEBI order
This follows an interim order issued by SEBI against the gold exporter. The capital markets watchdog has barred Rajesh Exports and its founder and executive chairman, Rajesh Mehta, from accessing the securities market.
The regulator’s initial investigation revealed a systematic scheme where the company misrepresented a substantial portion of its business revenue over a five-year period.
Furthermore, the management allegedly diverted corporate funds into various channels without obtaining the required board approvals or making necessary statutory disclosures.
According to the details outlined in the SEBI order, the regulator found that the company prima facie inflated its revenue by Rs 15.15 lakh crore between FY 2020-21 and FY 2024-25, which implies that 99.80 per cent of the total revenue attributed to its overseas subsidiaries was misrepresented.
While Rajesh Exports claimed that its Swiss subsidiary, Valcambi SA, was driving its multi-lakh-crore global trade, the subsidiary's actual audited standalone revenue accounted for less than half a percent of the figures.
SEBI also discovered that the company generated billions in fictitious transactions, including over Rs 11,487 crore in sales and Rs 11,488 crore in purchases. These were generated by mirroring gold derivative trades executed by Rajesh Mehta in his personal capacity.
“It is also noted that REL failed to disclose the audited financial statements of Valcambi SA on its website, thereby keeping the investors in dark from knowing the true and fair picture of the financial affairs of the company,” SEBI said.
Rajesh Exports clarification
In an exchange filing issued yesterday, June 4, the company clarified that SEBI's directive is an interim order with "no conclusive adverse findings of any kind". The company noted that it has "done no wrong" and maintained that its reported financial revenues are correct.
“The core observation in the order is with regard to the misreporting of the revenues, this has emerged primarily due to confusion because SEBI has considered the EBIDTA of Valcambi instead of revenue hence it has stated that there is a difference of about 97% in the revenue,” it said.
The large scale of the alleged financial manipulation at Rajesh Exports Ltd has alarmed the financial community. Following an interim order by the Securities and Exchange Board of India (SEBI), market experts are finding it hard to digest the sheer magnitude of the figures.
Ritesh Jain, the founder of US-based Pinetree Macro, shared a post on X on Thursday to express his concern over the market regulator's findings, highlighting the macroeconomic implications. Resharing a Reuters Asia post regarding SEBI uncovering $158 billion in misrepresented figures at the company, Jain raised a question about the wider trade numbers.
Jain wrote, "Equal to India”s 20% annual export value." He further said, "Does that mean that India”s exports are overvalued to the tune of $158 billion cumulatively over years.How is this possible?"
Rajesh Exports SEBI order
This follows an interim order issued by SEBI against the gold exporter. The capital markets watchdog has barred Rajesh Exports and its founder and executive chairman, Rajesh Mehta, from accessing the securities market.
The regulator’s initial investigation revealed a systematic scheme where the company misrepresented a substantial portion of its business revenue over a five-year period.
Furthermore, the management allegedly diverted corporate funds into various channels without obtaining the required board approvals or making necessary statutory disclosures.
According to the details outlined in the SEBI order, the regulator found that the company prima facie inflated its revenue by Rs 15.15 lakh crore between FY 2020-21 and FY 2024-25, which implies that 99.80 per cent of the total revenue attributed to its overseas subsidiaries was misrepresented.
While Rajesh Exports claimed that its Swiss subsidiary, Valcambi SA, was driving its multi-lakh-crore global trade, the subsidiary's actual audited standalone revenue accounted for less than half a percent of the figures.
SEBI also discovered that the company generated billions in fictitious transactions, including over Rs 11,487 crore in sales and Rs 11,488 crore in purchases. These were generated by mirroring gold derivative trades executed by Rajesh Mehta in his personal capacity.
“It is also noted that REL failed to disclose the audited financial statements of Valcambi SA on its website, thereby keeping the investors in dark from knowing the true and fair picture of the financial affairs of the company,” SEBI said.
Rajesh Exports clarification
In an exchange filing issued yesterday, June 4, the company clarified that SEBI's directive is an interim order with "no conclusive adverse findings of any kind". The company noted that it has "done no wrong" and maintained that its reported financial revenues are correct.
“The core observation in the order is with regard to the misreporting of the revenues, this has emerged primarily due to confusion because SEBI has considered the EBIDTA of Valcambi instead of revenue hence it has stated that there is a difference of about 97% in the revenue,” it said.