In an unprecedented move, the Supreme Court of India has directed the Delhi High Court to relieve Justice Yashwant Varma of his judicial responsibilities following the discovery of burned cash at his residential premises. A three-member judicial panel has been constituted to investigate the allegations, marking a significant step in judicial accountability.
Background of the Allegations
The controversy erupted after a fire broke out at Justice Varma&rsquo;s residence on the night of Holi, March 14. During the firefighting operation, authorities reportedly found bundles of burned cash within the premises, raising serious questions about the source and ownership of the money. The Delhi Police Commissioner, Sanjay Arora, subsequently shared the details, including images and video evidence, with Delhi High Court Chief Justice DK Upadhyaya.
Supreme Court&rsquo;s Action
Taking cognizance of the allegations, Chief Justice of India (CJI) Sanjiv Khanna acted swiftly by setting up a three-member in-house judicial panel to probe the matter. The panel comprises:
<ul type="disc">
<li class="MsoNormal">Justice Sheel Nagu, Chief Justice of Punjab &amp; Haryana High Court</li>
<li class="MsoNormal">Justice GS Sandhawalia, Chief Justice of Himachal Pradesh High Court</li>
<li class="MsoNormal">Justice Anu Sivaraman, Judge of Karnataka High Court</li>
</ul>
In addition to ordering an internal probe, the Supreme Court directed the Delhi High Court not to assign any further judicial work to Justice Varma while the inquiry is underway.
Judicial Repercussions and Collegium Decision
Initially, the Supreme Court Collegium decided to repatriate Justice Varma to his parent court, the Allahabad High Court. However, during a full-court meeting held on March 22, it was unanimously agreed that a mere transfer would be insufficient. The judges concluded that an in-depth investigation was necessary to address the gravity of the allegations.
Justice Varma&rsquo;s Defense
In response to the allegations, Justice Yashwant Varma issued a detailed rebuttal, categorically denying any involvement in the placement of the cash. He stated that the room where the burned money was found was an outhouse, entirely separate from his main residence.
"I state unequivocally that no cash was ever placed in that storeroom either by me or any of my family members and strongly denounce the suggestion that the alleged cash belonged to us. The very idea or suggestion that this cash was kept or stored by us is totally preposterous," Justice Varma asserted in his response.
He further criticized the media for what he described as a rush to judgment without proper investigation. His statement, along with all other collected documents, spans a comprehensive 25-page report released by the Supreme Court.
Implications and Next Steps
This incident marks one of the most serious allegations against a sitting High Court judge in recent years. The Supreme Court&rsquo;s proactive approach underscores its commitment to judicial integrity and transparency. The findings of the in-house committee will determine the next course of action, which could range from exoneration to possible disciplinary measures, depending on the outcome of the probe.
As the investigation unfolds, this case is expected to have wide-ranging implications on judicial oversight and the mechanisms in place to uphold ethical standards within India&rsquo;s judiciary.
&nbsp;

Burned cash found at his residential premises; Supreme Court orders probe, suspends judicial work

SC Removes Delhi HC Judge Yashwant Varma from Judicial Duties

Burned cash found at his residential premises; Supreme Court orders probe, suspends judicial work

March 23, 2025 | 15:18 IST