ED flags missing forex records at Rajesh Exports, probes Rs 1,035 cr African mines bet
Enforcement Directorate alleges Bengaluru-based gold major Rajesh Exports failed to produce foreign transaction records during FEMA searches, citing gaps on a Rs 1,035 crore African mines investment, Rs 600 crore allegedly siphoned via NRI benamidars, a 40% stock discrepancy and a Rs 17,000/month MD salary against Rs 7.7 lakh crore revenue.
What happened
ED alleges Rajesh Exports failed to produce foreign transaction records during FEMA searches, citing missing documentation on Rs 1,035 crore African mines
Key facts
- Rs 1,035 crore African mines investment
- Rs 17,000/month MD salary
- Rs 7.7 lakh crore revenue
- Rs 600 crore siphoned
- 40% stock difference
- Rs 15.15 lakh crore alleged revenue inflation
Why this matters
Any partnership, supply or M&A conversation with Rajesh Exports should be paused pending FEMA resolution, since benami-routing allegations and undocumented offshore mine bets create direct sanctions and reputational contagion risk for counterparties.
What to watch
- PMLA ECIR registration or asset attachment order
- SEBI ASM/GSM stage upgrade or trading curbs
- Auditor (Sundaram & Srinivasan) qualifications or resignation
- Promoter pledge disclosure changes
- Q3FY25 results delay or restatement announcement
- RBI advisory to AD-I banks on gold importer KYC
- African subsidiary impairment or regulator action in host country
- Track exchange filings for ED summons disclosures and auditor resignation risk
- Map bullion bank exposure (SBI, Nova Scotia, ICBC) to Rajesh Exports
- Watch peer rotation flows into Titan, Kalyan Jewellers, Senco, PC Jeweller
- Stress-test African mine carrying value vs Rs 1,035 cr book entry
- Monitor MFs/FIIs for stake exits in Sept-Dec shareholding pattern