The Enforcement Directorate (ED) raided nine locations related to Rajesh Exports Limited (REL) and its associated companies in Bengaluru and Mumbai. The action started on June 23, 2026. This operation was done to investigate alleged irregularities in the company's foreign transactions. During the investigation, the ED found indications of several serious irregularities.
According to the agency, the company failed to provide necessary documents related to its foreign import-export, foreign investment and foreign payments, making it extremely difficult to verify the authenticity of these transactions. The ED found that although investments worth about ₹1,035 crore were claimed in African mines, no supporting documents have been found so far.
The investigation also revealed that the company engaged in netting/set-off of foreign trade payments and dues amounting to approximately ₹3,000 crore with suspicious entities in the United Arab Emirates (UAE) and other countries. This matter is still under investigation.
During the raid, physical verification of the stock present in the factory was also done. A difference of about 40 percent was found between the company's records and the actual stock, raising suspicions of major irregularities related to the stock. The ED investigation has also raised questions on the salaries of senior officers of the company.
According to the agency, despite the large-scale functioning of the company, the Chief Financial Officer (CFO) has not received any salary since 2020, while the Managing Director (MD) was paid only ₹17,000 per month. This is when the company has recorded a consolidated revenue of approximately ₹7.7 lakh crore. Apart from this, the investigation has revealed signs of suspicious block trading in the company's shares and manipulation of share prices.
According to the ED, names of some persons have emerged who also appear in the information leaked from ICIJ ((International Consortium of Investigative Journalists). Initial investigation has also revealed that an amount of about ₹600 crore may have been sent out of India through manipulation of share prices using NRI benami accounts. During the raids, ED has seized several important documents and digital evidence. The agency is now investigating these and further action is underway in the case.
