SEBI Questions Rajesh Exports' Africa Gold Mine Investment Claims; Flags Rs 15.15 Lakh Crore Revenue Misstatement

As part of the interim order passed by Securities & Exchange SEBI on Rajesh Exports Ltd (REL), the market regulator noted that it found the listed gold refiner's explanation on investments linked to gold mines in Africa as “vague, and unsupported”.

The market watchdog has also alleged in the 109 page-long interim order that Rajesh Exports Ltd misrepresented consolidated revenues totalling nearly Rs 15.15 lakh crore, representing 99.80 percent of the total consolidated revenue for the period FY 2020-21 to FY 2024-25.

No 'Traceable Linkage' Of Rajesh Exports' Africa Gold Mines Investment: SEBI

Earlier, the National Stock Exchange (NSE) had sought from REL details of the “Other Non-Current Investments” amounting to Rs 1,035.27 crore as on March 31, 2023.

In response, REL on dated July 11, 2024, stated that the aforesaid amount pertained to Investment in Gold Mines in Africa”.

However, SEBI noted that, “No identifiable investment in gold mines in Africa corresponding to the amount of INR 1,035.27 crore was reflected in the standalone financial statements of REL for FY 2022-23. Similarly, no such identifiable investment in gold mines in Africa could be found in the standalone financial statements of REL Singapore and GGR.”

Also Read: Why Market Regulator SEBI Cracked The Whip On Rajesh Exports

Further, it noted that Rajesh Mehta led gold refining company's claim of “Other Non-Current Investments” represented “investment in gold mines in Africa” could not be corroborated with financial statements available on record.

During the course of investigation, REL was granted an opportunity to explain the aforesaid discrepancy.

In response, REL on March 17, 2026, stated that "it was unable to locate its earlier response furnished to the exchange due to absence of date details," while adding that "investments in gold mines existed through foreign subsidiaries and the investment figures were “tallying and correct”.

On alleged investment in gold mines in Africa totalling Rs 1,035.27 crores, SEBI prima facie noted that it found the explanation “vague, unsupported and incapable of verification.”

"Mere assertions that investments exist through foreign subsidiaries, without furnishing any traceable linkage in the financial statements or supporting records, do not satisfactorily," according to SEBI's interim order.