Rajesh Exports’ connection with LIC
SEBI has taken strong action against gold related company Rajesh Exports. The market regulator has accused the company of misrepresenting its revenue of Rs 15.15 lakh crore and has barred its promoter and managing director Rajesh Mehta from trading in the company. In the initial investigation by SEBI, the company has been accused of irregularities in financial data, suspicious transfer of funds and non-cooperation in the investigation. After this news, huge selling was seen in the shares of Rajesh Exports today. There was a lower circuit in the shares of the company. But apart from this, the heat of this news has also reached LIC. Its effect has been seen on its shares.
After Rajesh Export, this entire fraud has had the biggest impact on LIC. Because LI has about 10.80 percent stake in this company. However, LIC has neither bought nor sold shares of Rajesh Exports since September 2023. But the holding has remained intact. The current value of LIC’s holdings is Rs 347 crore, while it was Rs 637 crore at the beginning of 2026. The interesting thing is that foreign investors have also invested a lot of money in Rajesh Exports. In this, the current value of FII holdings is Rs 456 crore, whereas earlier it was Rs 838 crore. This clearly indicates that investors have confidence in the company. But due to this coming under investigation of SEBI, it has had a direct impact on the shareholders of LIC.
LIC shares fell
On one hand, as soon as the market opened, the shares of Rajesh Exports crashed. Lower circuit was installed in them. On the other hand, due to the holdings in this company, a decline was also seen in the shares of the country’s largest insurance company LIC. Till the time of writing the news, LIC shares were trading at Rs 398 with a decline of about 1 percent. It is clear from this that the news of Rajesh Exports has affected the pockets of common investors also.
Policyholders will not be affected
However, due to the fall in the shares of Life Insurance Corporation, its shareholders will suffer loss. But it will not affect the policy holders. For example, if you have bought SIC shares, its valuation will reduce in fall. But this will not affect the value of your policy.
Canara Bank is also in trouble
In this entire matter, not only LIC but also the government bank Canara Bank has been affected. After Rajesh Exports defaulted in loan repayment, the bank has put its loan of Rs 509 crore in the category of ‘stressed asset’. Now Canara Bank is preparing to get out of this stuck loan. The bank has decided to sell this outstanding loan of Rs 509 crore through open auction, so that it can recover its amount and distance itself from this risky account.
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