SEBI flags $158 billion of misrepresented numbers at Rajesh Exports

Public Lokpal
June 04, 2026

Mumbai: India’s markets regulator alleged on Wednesday that jewellery maker Rajesh Exports inflated its revenue over several years, largely through unverified overseas entities, by about 15.15 trillion rupees ($158.30 billion).

The Securities and Exchange Board of India (SEBI) has barred the company and its promoter, Rajesh Mehta, from the securities market pending completion of its investigation.

Rajesh Exports and Mehta did not immediately respond to a Reuters request for comment.

SEBI said 97%-99% of Rajesh Exports’ consolidated revenue came from overseas subsidiaries, particularly Switzerland-based Valcambi SA. However, the company allegedly failed to disclose the financial statements of these subsidiaries in the public domain.

While Valcambi SA was presented as the group’s principal operating entity, its audited standalone financial statements showed negligible revenue. SEBI said this resulted in the misrepresentation of about 15.15 trillion rupees, accounting for 99.8% of the company’s subsidiary revenue between fiscal years 2020-21 and 2024-25.

According to the order, Rajesh Exports reported sales of 114.87 billion rupees and purchases of 114.88 billion rupees with Affluence Shares and Stocks Private Limited. Affluence, however, denied conducting any such transactions.

The regulator alleged these were non-genuine entries linked to Mehta’s personal derivatives trading and were used to inflate the company’s turnover without any underlying economic activity.

SEBI also alleged that Rajesh Exports routed company funds worth 3.39 billion rupees to Mehta’s personal accounts, including for derivatives trading, without approval from the board or audit committee and without proper related-party disclosures.

In total, 9.26 billion rupees was allegedly routed without the required approvals or disclosures.

SEBI estimated that the alleged misrepresentation and diversion of funds resulted in wealth erosion of 127.26 billion rupees for shareholders, including retail investors