Rajesh Exports share price tumbles 30% after SEBI order

What happened to Rajesh Exports stock

Rajesh Exports Ltd extended its sell-off as the stock stayed under heavy pressure amid regulatory scrutiny. On Friday, the shares fell another 5% to a one-year low of Rs 77.05, marking the seventh straight losing session. Over the last seven trading days, the stock has cracked 29.56%, reflecting a sharp repricing of risk after the regulator’s action. The company has repeatedly hit the lower circuit, indicating sustained selling with limited buying interest at the circuit levels.

The fall is linked to an interim order by the Securities and Exchange Board of India (SEBI) dated June 3, 2026. SEBI alleged the company misrepresented a significant portion of its revenue over a five-year period and diverted company funds without required approvals and disclosures. The situation has also drawn attention because Rajesh Exports is widely known as a gold refiner and jewellery exporter.

SEBI’s June 3 interim order and the core allegations

SEBI’s interim ex-parte order alleged that Rajesh Exports inflated its revenue by about Rs 15.15 lakh crore between FY21 and FY25. In a single base unit, this equals approximately Rs 1,515,000 crore. The regulator said the alleged inflation was linked to revenues from overseas subsidiaries, with a specific reference to Switzerland-based Valcambi SA in the reporting around the order.

SEBI also flagged a prima facie misrepresentation of the company’s financial position, stating that nearly all reported revenues were coming from overseas subsidiaries whose financial statements were not publicly disclosed. Separately, another report based on SEBI’s findings said a forensic examination indicated that nearly 97-99% of the company’s reported revenue may have been inflated. These points have amplified investor concern about the reliability of financial disclosures.

Founder Rajesh Mehta’s stance and company clarification

Rajesh Mehta, founder and CEO of Rajesh Exports, has been central to the market narrative since the interim order. One update in the coverage said Mehta would not challenge SEBI’s order. In another statement reported by PTI, Mehta said the interim order was based on what he described as a fundamental accounting error, alleging that SEBI had treated the company’s EBITDA figures as revenue.

SEBI’s order, as reported, also included restrictions on Mehta, barring him from buying, selling, or otherwise dealing in securities of Rajesh Exports pending further directions. The combination of allegations, ongoing investigation, and interim restrictions has weighed heavily on sentiment.

How the sell-off unfolded across sessions

The stock’s decline has been marked by multiple sessions locked at the 5% lower circuit. On Thursday, June 11, 2026, Rajesh Exports was reported trading at Rs 81.10 on the BSE lower circuit with no buyers and only sellers at the circuit level. Another data point in the reports placed the stock at Rs 80.43 “today” versus Rs 109.99 on June 3, indicating a decline of 26.88% in that timeframe.

There were also figures stating the stock fell from Rs 109.38 on June 3 to Rs 81.10 across six trading sessions of continuous lower circuits, a drop of around 26%. On Wednesday, June 10, the stock was reported locked at Rs 85.35, after five consecutive lower-circuit sessions. The week and month trendlines cited in the reports were also steep: down 22.6% in a week and about 30% over the past month.

PLI scheme overhang adds a second risk factor

Beyond SEBI’s interim order, the stock has faced additional pressure from reported uncertainty around a government incentive scheme. A PTI report suggested the Ministry of Heavy Industries (MHI) may decide in the coming days whether to remove Rajesh Exports from the list of beneficiaries under the production-linked incentive (PLI) scheme for advanced chemistry cell (ACC) battery storage.

This potential decision has been cited as an extra overhang for investors already reacting to regulatory action. The combination of governance questions and potential policy-related changes can compound volatility, especially for a stock already hitting circuit limits.

Key numbers to track

Timeline of reported price points and circuits

Market impact: why these details matter

The immediate market impact has been visible in continuous lower circuits, sharp percentage declines, and the stock trading with sellers dominating at the circuit limit. The price action signals that investors are prioritising regulatory risk and uncertainty around disclosures. With SEBI alleging misrepresentation over multiple years and highlighting the role of overseas subsidiaries, the market is also reacting to potential gaps in publicly available subsidiary financials.

The reports also cited longer-period declines: about 55% in six months and 58% over the last year. While these are broader timeframes, the pace of the post-order fall stands out because it concentrated losses into a few sessions and repeatedly hit the circuit filter, limiting normal price discovery.

Analysis: what investors are focusing on now

For investors, the key issues are the nature of SEBI’s allegations, the scale of the alleged misstatement, and the interim restrictions placed during investigation. The alleged inflation figure of Rs 1,515,000 crore over FY21-FY25, combined with the claim that 97-99% of reported revenue may have been inflated, has elevated governance concerns to the forefront.

At the same time, the company’s position that the regulator may have made an accounting interpretation error, as reported by PTI, indicates that the matter could involve technical accounting disagreements alongside disclosure and governance questions. The separate PLI-related uncertainty introduces another decision point that markets are watching, because it could affect the company’s standing in a government-backed incentive framework.

Conclusion

Rajesh Exports shares have remained under sustained pressure since SEBI’s June 3 interim order, with multiple lower-circuit sessions and a slide to levels around Rs 77-81 in the latest reported trading. The near-term focus remains on regulatory developments around SEBI’s investigation and any decision by the Ministry of Heavy Industries on the company’s status under the ACC battery PLI scheme.