Read, Digital Desk : Rajesh Exports’ share has gained almost 28 per cent in the last five trading sessions. The stock of Rajesh Exports is trading just 11 per cent shy of its pre-SEBI order level. The story started on June 3, when the market regulator SEBI passed an interim order against Rajesh Exports and its Chairman and CEO, Rajesh Mehta. SEBI barred Rajesh Exports and Mehta from the securities market till the disposal of investigation.

SEBI said Rajesh Exports inflated revenue to the tune of 15.15 lakh crore from fiscal year 2021 to 2025. The regulator alleged that revenues from overseas subsidiaries, notably Switzerland-based Valcambi SA, were inflated and mis-stated in Rajesh Exports’ financial accounts. “The contributions to total revenue were largely from foreign subsidiaries which accounted for between 97 and 99 per cent of the total revenue of the company on a consolidated basis during the period reviewed,” SEBI said in the order. “As such the scrutiny and validation of figures to revenues from overseas subsidiaries assumes paramount importance”.

Panic grips markets, Rajesh Exports down over 60 per cent from high On SEBI’s order, market witnessed a panic selling and the stock of Rajesh Exports fell for seven successive trading days to a 52-week low of Rs 77.05 last week. But suddenly buying emerged, with investors thronging at lower level and started a rapid rebound. In just five trading sessions, the stock of Rajesh Exports has recovered sharply to rise by 28 per cent. Meanwhile, Rajesh Exports categorically denied the allegations.

The company has said that SEBI’s order contains only preliminary observations and its financials are correct. Rajesh Exports said it has submitted required information and clarifications. It argued that data as stated on various exchange filings is on the basis of different reporting parameters and no discrepancies exist, and has further clarified that the data reported for FY25 pertains to various parameters including shares eligible for voting, actual shares voted, total share capital etc., and no anomaly needs to be attributed. Markets now keenly awaits SEBI’s next move and Rajesh Exports’ response, in order to determine the future course of the stock, which has been attracting attention for its swift recovery.