Rajesh Exports Slides 5% To Hit Lower Circuit for a Third Time as SEBI Probe Rattles Investor Confidence

Mumbai, June 8: Rajesh Exports share price remained under intense selling pressure on Monday, hitting the 5% lower circuit for the third consecutive trading session as investors continued to react to allegations of financial irregularities flagged by the Securities and Exchange Board of India (SEBI).  

The stock was locked at ₹94.50, down nearly 5% during the session, extending a sharp decline that began after the regulator’s interim order last week. 

The latest fall has wiped out a significant portion of the company’s market value, with sentiment remaining fragile amid concerns over corporate governance and the potential implications of the ongoing regulatory investigation. Rajesh Exports has now hit its lower circuit limit on three successive trading days since details of the probe became public. 

What SEBI alleged 

The graph shows how the company has been hammered by SEBI over the past three sessions, with the stock repeatedly freezing over massive concerns surrounding alleged financial irregularities. Source: NSE 

The selloff was triggered after SEBI issued an interim order against the company and its promoter-chairman Rajesh Mehta, alleging large-scale financial irregularities. The regulator has barred Mehta and the company from markets while the investigation continues. 

Also Read: Rajesh Exports: Sent 400 GB docs to Sebi, regulator couldn’t locate files; will resubmit in 15 days 

The regulator has raised concerns over the accuracy of the company’s reported financial figures. 

In one of the most serious allegations, SEBI claimed that Rajesh Exports may have inflated revenue by approximately ₹15.15 lakh crore over multiple financial years through transactions involving overseas entities. The regulator’s findings have intensified concerns among investors and market participants. 

Company disputes findings 

Rajesh Exports has strongly denied any wrongdoing and attributed the issue to what it described as a communication gap with the regulator. The company said it had already submitted hundreds of gigabytes of documents to SEBI and believes the relevant files may not have been properly identified during the investigation. 

Chairman Rajesh Mehta has argued that SEBI’s conclusions stem from a misunderstanding of the company’s financial statements and said the company plans to resubmit the requested documents within the next two weeks. 

Uncertainty weighs on outlook 

Investor confidence remains under pressure as the market awaits further clarity on the allegations and the outcome of the investigation. The case has attracted significant attention given the scale of the alleged discrepancies and Rajesh Exports’ position as one of India’s largest gold refiners and jewellery exporters. 

With the stock locked in lower circuits and regulatory scrutiny intensifying, traders are likely to remain cautious until there is greater visibility on the company’s legal and financial position. For now, concerns over governance and compliance continue to overshadow the company’s business fundamentals, keeping selling pressure firmly in place. 

Source: https://www.nseindia.com/get-quote/equity/RAJESHEXPO/Rajesh-Exports-Limited