"There is some...": What Rajesh Exports said in 5-pointer clarification post SEBI's order
Rajesh Exports has shared a clarification with the exchanges post their requisite, where the company refuted all the alleged remarks flagged by SEBI.
- Jun 4, 2026,
- Updated Jun 4, 2026 2:47 PM IST
After SEBI's interim orders on allegations of misrepresentation its almost entire revenue over a five-years and diversion of funds without approvals and disclosures, Rajesh Exports has shared a clarification with the exchanges post their requisite for the same. The clarification came in five pointers, where the company refuted all the alleged remarks flagged by the capital market watchdog.
The company rejects all adverse media reports appearing with regard to the interim order of SEBI. "The company will be shortly issuing a media clarification which would clarify and settle the unnecessary speculation in the media, said Rajesh Exports Ltd in its exchange filing.
However, Rajesh Exports agreed to receive an interim order dated June 03, 2026 from SEBI. In its explanation, is said that 1.) the order is interim and there has been no any adverse conclusion on any aspect arrived by SEBI; 2.) the revenues declared by the company are correct and there is no over stating of revenues, it said.
"3.) There seems to be some type of communication gap and confusion between SEBI and the company; 4.) the company is in the process of clarifying all aspects to SEBI by submitting all the required and relevant documents; and 5.) The company is confident that SEBI in its wisdom will clarify the situation and arrive at the correct conclusion based on the authenticated documents which are in the process of submission by the company," it added.
In an interim order, Sebi barred Rajesh Exports and its promoter Rajesh Mehta from accessing the securities market until the completion of its investigation. Following the update, shares of Rajesh Exports hit a lower circuit of 5 per cent to Rs 104.65 on Thursday, with market capitalization slipping below Rs 3,100 crore. The stock has tanked 56 from its 52-week low hit in December 2025.
Sebi has alleged that Rajesh Exports misrepresented its financial position by failing to consistently disclose the financial statements of its overseas subsidiaries, which accounted for around 97-99 per cent of its consolidated revenue. The regulator said Switzerland-based Valcambi SA was shown as the group’s principal operating entity, even though its audited standalone financial statements showed negligible revenue.
According to Sebi, this led to the alleged misrepresentation of about Rs 15.15 lakh crore, or 99.80 per cent of subsidiary revenue, between FY21 and FY25. It also flagged reported sales of Rs 11,487 crore and purchases of Rs 11,488 crore with Affluence Shares and Stocks Pvt Ltd, which allegedly denied such transactions.
Sebi said these were non-genuine accounting entries linked to promoter Rajesh Mehta’s personal derivatives trading and were used to inflate turnover. It further alleged that Rs 339 crore, and in total Rs 926 crore, was routed to accounts linked to Mehta without board or audit committee approval and without proper related-party disclosures.
After SEBI's interim orders on allegations of misrepresentation its almost entire revenue over a five-years and diversion of funds without approvals and disclosures, Rajesh Exports has shared a clarification with the exchanges post their requisite for the same. The clarification came in five pointers, where the company refuted all the alleged remarks flagged by the capital market watchdog.
The company rejects all adverse media reports appearing with regard to the interim order of SEBI. "The company will be shortly issuing a media clarification which would clarify and settle the unnecessary speculation in the media, said Rajesh Exports Ltd in its exchange filing.
However, Rajesh Exports agreed to receive an interim order dated June 03, 2026 from SEBI. In its explanation, is said that 1.) the order is interim and there has been no any adverse conclusion on any aspect arrived by SEBI; 2.) the revenues declared by the company are correct and there is no over stating of revenues, it said.
"3.) There seems to be some type of communication gap and confusion between SEBI and the company; 4.) the company is in the process of clarifying all aspects to SEBI by submitting all the required and relevant documents; and 5.) The company is confident that SEBI in its wisdom will clarify the situation and arrive at the correct conclusion based on the authenticated documents which are in the process of submission by the company," it added.
In an interim order, Sebi barred Rajesh Exports and its promoter Rajesh Mehta from accessing the securities market until the completion of its investigation. Following the update, shares of Rajesh Exports hit a lower circuit of 5 per cent to Rs 104.65 on Thursday, with market capitalization slipping below Rs 3,100 crore. The stock has tanked 56 from its 52-week low hit in December 2025.
Sebi has alleged that Rajesh Exports misrepresented its financial position by failing to consistently disclose the financial statements of its overseas subsidiaries, which accounted for around 97-99 per cent of its consolidated revenue. The regulator said Switzerland-based Valcambi SA was shown as the group’s principal operating entity, even though its audited standalone financial statements showed negligible revenue.
According to Sebi, this led to the alleged misrepresentation of about Rs 15.15 lakh crore, or 99.80 per cent of subsidiary revenue, between FY21 and FY25. It also flagged reported sales of Rs 11,487 crore and purchases of Rs 11,488 crore with Affluence Shares and Stocks Pvt Ltd, which allegedly denied such transactions.
Sebi said these were non-genuine accounting entries linked to promoter Rajesh Mehta’s personal derivatives trading and were used to inflate turnover. It further alleged that Rs 339 crore, and in total Rs 926 crore, was routed to accounts linked to Mehta without board or audit committee approval and without proper related-party disclosures.