Rajesh Exports, the company under Sebi's radar, on Friday filed a clarification with the stock exchanges, rejecting allegations stemming from the market regulator's interim order and asserting that its reported revenues were accurate and genuine.
"Rajesh Exports has never indulged in any mis-reporting and all its filings, financial numbers including revenue is true and genuine," the company said.
The filing came two days after Sebi issued a 109-page interim ex-parte order against the company and its Chairman and Managing Director Rajesh Mehta, alleging that Rajesh Exports had misrepresented consolidated revenues of approximately ₹15.15 lakh crore between FY21 and FY25, accounting for nearly 99.8% of its total reported consolidated revenue during the period.
1 June 2026
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The regulator also alleged that these were non-genuine entries linked to Mehta's personal derivative trades, used to inflate turnover without real economic activity.
Sebi directed the company and Mehta to cooperate with investigators within 30 days, ordered the appointment of a new forensic auditor and restrained Mehta from buying, selling or dealing in the company's securities until further orders.
Company's Response
In the exchange filing, Rajesh Exports said it was debt-free, had never raised money from public offerings beyond its initial public issue of ₹10 crore in 1995 and had never made equity placements to domestic institutions. It reiterated that the Sebi order was interim in nature and contained no conclusive adverse findings.
On the central revenue question, the company attributed the bulk of its consolidated revenues to its Swiss subsidiary Valcambi SA, which it described as the world's largest gold refinery, engaged in refining and sale of gold bullion to major banks, central banks and large bullion entities globally.
It said the discrepancy had "emerged primarily due to confusion" because Sebi had considered Valcambi's EBITDA instead of revenue, leading to an apparent discrepancy of about 97%. "The consolidated revenue as stated by the company is correct," it said.
Rajesh Exports operates through REL Singapore, which owns Switzerland-based Global Gold Refineries AG, which in turn owns Valcambi SA, the group's principal operating entity.
The company also rejected media and social media reports characterising the matter as a scam or fraud, and denied any equity placement to LIC. It said it was in the process of submitting documents and evidence to address each concern raised in the Sebi order and expressed confidence that the regulator would clear all suspicions after reviewing the submissions.
The clarification comes amid reports that the Ministry of Heavy Industries (MHI) is likely to remove Rajesh Exports from the list of beneficiaries under the production-linked incentive (PLI) scheme for batteries, while the Ministry of Corporate Affairs (MCA) may order a probe into potential governance lapses at the company.
A government official told Economic Times that the MHI is examining the Sebi order and there is a strong view within the ministry that the company should be removed as a beneficiary, with a final decision expected after a detailed internal examination.
A separate official told the publication the MCA is in touch with Sebi and may ask the relevant Registrar of Companies to undertake an inspection if required, adding that Sebi is currently taking the lead in the case.
Mehta, meanwhile, said the company is yet to receive any communication from either ministry. He described the Sebi action as an interim order containing observations, not allegations and said it did not warrant any questions by the MCA, ET reported.
On the PLI scheme, Mehta reportedly said there had been no adverse communication from the ministry and that the matter was unrelated to the scheme.
