In a dramatic turn of events, the Supreme Court of India on Saturday released an internal inquiry report by the Delhi High Court, officially confirming that cash was found at the residence of Justice Yashwant Varma after a fire broke out on March 14.
The Supreme Court also constituted a three-member committee to probe the allegations against the sitting Delhi High Court judge. The panel comprises Justice Sheel Nagu (Chief Justice of Punjab & Haryana High Court), Justice G.S. Sandhawalia (Chief Justice of Himachal Pradesh High Court), and Justice Anu Sivaraman (Karnataka High Court).
Chief Justice of Delhi HC Seeks Explanation
The redacted report reveals that Delhi High Court Chief Justice Devendra Kumar Upadhyaya wrote to Justice Varma on March 21, asking him to “account for the presence of money/cash” discovered in a specific room of his official bungalow.
In response, Justice Varma denied any wrongdoing, stating:
“No currency was recovered from the premises that we actually occupy and use as a family.”
SC Orders Withdrawal of Judicial Work
A statement released by the Supreme Court confirmed that Justice Varma has been relieved of all judicial work temporarily.
“The Delhi High Court Chief Justice, for the time being, has been asked not to assign any judicial work to Justice Varma,” the release said.
The decision followed the submission of a fact-finding report by Chief Justice Upadhyaya to Chief Justice of India (CJI) Sanjiv Khanna. Hours later, the CJI ordered the formation of the three-member inquiry committee and made the report public by uploading it on the court’s website.
Cash Recovered on Camera
The Supreme Court also released videos and photographs provided by Delhi Police Commissioner Sanjay Arora to the Delhi HC Chief Justice. The visuals show firefighters pulling out half-burnt wads of currency notes stuffed in plastic bags.
In one video, a voice is heard saying: “Mahatma Gandhi mein aag lag gayi”—a reference to the burning notes bearing Mahatma Gandhi’s image.
Also Read: Cash stack at Justice Yashwant Varma residence, amidst 2018 sugar mill fraud case
SC Collegium Recommends Transfer
Prior to the committee formation, the Supreme Court Collegium had proposed Justice Varma’s transfer to the Allahabad High Court, his parent High Court. The unanimous decision came after the Collegium reviewed the fact-finding report and video evidence related to the cash recovery.
Background of the Incident
The incident unfolded when a fire broke out at Justice Varma’s official residence on March 14. During firefighting operations, cash was discovered, triggering the internal probe.
Highly-placed sources indicated that the recovered money was found in a section of the premises not actively occupied by Justice Varma and his family—an assertion he maintained in his official reply.
Next Steps
The three-member committee will now investigate the source and purpose of the cash found, as well as Justice Varma’s accountability. The inquiry’s findings will determine the future course of action, which could include disciplinary or administrative measures.
This case marks a rare instance of a sitting High Court judge facing a formal probe over corruption-related allegations, raising questions about transparency and accountability in the higher judiciary.
