A three-member judicial panel has submitted its findings to Chief Justice of India Sanjiv Khanna, concluding an internal inquiry into the discovery of unaccounted cash at the official residence of Justice Yashwant Varma. The report, dated 3 May 2025, was handed over to the Chief Justice on 4 May.
The committee, comprising Justice Sheel Nagu, Chief Justice of the High Court of Punjab and Haryana; Justice G.S. Sandhawalia, Chief Justice of the High Court of Himachal Pradesh; and Justice Anu Sivaraman, Judge of the High Court of Karnataka, was constituted following a fire incident at Justice Varma’s residence on 14 March 2025. Firefighters responding to the blaze reportedly discovered partially burnt sacks containing Indian currency notes.
The Supreme Court took the unprecedented step of releasing the inquiry report, including photographs and a video, to the public. The visuals depict fire personnel retrieving charred bundles of currency from the premises. Justice Varma, in his response included in the report, categorically denied any knowledge of the cash, asserting that neither he nor his family members had placed money in the storeroom where the fire occurred. He described the allegations as a “conspiracy to frame and malign” him.
The inquiry panel’s report also highlighted procedural lapses by the Delhi Police and fire department officials. It raised concerns over the failure to seize the recovered cash and the deletion of a video recording made by first responders. Officials cited legal constraints, noting that judges of the High Court and Supreme Court cannot be investigated without prior approval from the Chief Justice of India.
The incident has sparked debate within the legal community. The Allahabad High Court Bar Association opposed Justice Varma’s transfer to their court, expressing concerns over the decision and emphasizing the need to uphold judicial integrity. Legal experts have praised the Supreme Court’s transparency in releasing the inquiry documents, viewing it as a step towards maintaining public trust in the judiciary.
Justice Varma was transferred to the Allahabad High Court and took oath on 5 April 2025. The Supreme Court clarified that the transfer decision was independent of the ongoing investigation into the cash discovery.
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