SEBI crackdown sends markets spiraling, LIC investors anxious over 31.8 million shares
Suspense Crime, Digital Desk : Investors are now worried about insurance behemoth Life Insurance Corporation of India (LIC) following the Securities and Exchange Board of India (SEBI)'s ban on Rajesh Exports Limited. LIC holds a substantial percentage of stake in Rajesh Exports and investors are now worried if the controversy that has engulfed Rajesh Exports can impact LIC's investment portfolio.
What is the share?
According to the shareholding pattern as of March 2026, promoters have 54.55% stake, while public shareholders have a 45.45% stake in the company. Insurance giant LIC holds 10.8% of stake in Rajesh Exports, amounting to around 31.8 million equity shares. However, experts claim that the decline in LIC's share price cannot be directly attributed to its investment in Rajesh Exports, at least for now.
Ajit Mishra, senior vice president, research at brokerage firm Religare Broking, states, " It is too early to directly link LIC share's decline to Rajesh Exports investment." He adds, "Before making any assessment we need to understand the exact size of Rajesh Exports investment in LIC's investment portfolio."
Congress questions
"While other aspects about Rajesh Exports Limited (REL) are also very concerning regarding irregularities, the matter involving LIC investment into REL (10.8% stake) is deeply concerning," said the Congress party, further stating, "Most importantly, there are large investments of Banks also in that politically powerful entity."
