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An in-house committee formed to examine the circumstances surrounding the discovery of cash at the residence of Justice Yashwant Varma has found him culpable, Bar and Bench reported.
The report has been submitted to Chief Justice of India (CJI) Sanjiv Khanna.
According to the report, Justice Varma has been asked to resign. If he does not, the matter could be escalated to the President of India with a recommendation for impeachment.
“Report has indicted him. As per procedure, the CJI has called upon him. The first option given to him is to resign. If he resigns, it is good. If he does not, then the report will be sent to the President recommending impeachment,” a source told Bar and Bench.
Justice Varma has reportedly been given a deadline of 9 May to respond to the Chief Justice’s communication.
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Panel formed by CJI began inquiry in March
The committee was set up by CJI Khanna on 22 March and included Punjab and Haryana High Court Chief Justice Sheel Nagu, Himachal Pradesh High Court Chief Justice GS Sandhawalia, and Justice Anu Sivaraman of the Karnataka High Court. The panel commenced its investigation on 25 March and submitted its findings on 4 May.
The controversy stems from a fire at Justice Varma’s Delhi residence on 14 March, during which firefighters discovered large sums of unaccounted cash. At the time, the judge and his wife were in Madhya Pradesh. His daughter and elderly mother were the only family members present during the fire.
A video later emerged, appearing to show bundles of cash being consumed by the flames, prompting serious allegations of corruption.
Allegations, denial, and public disclosure
Justice Yashwant Varma has denied any wrongdoing, alleging that the entire episode is a ploy to malign him. Following the incident, the CJI ordered a formal inquiry by the in-house panel.
The Delhi Police Commissioner shared the video footage with the Chief Justice of the High Court. In a rare move, the Supreme Court made this video and the preliminary report by the Delhi High Court Chief Justice public, along with Justice Varma’s written response.
After the allegations surfaced, Justice Varma was repatriated to his parent court, the Allahabad High Court, where he recently took the oath of office. However, on the CJI’s instructions, he has not been assigned any judicial duties. His return to the Allahabad High Court had earlier triggered a strike by the local Bar Association.
The Supreme Court declined to entertain a petition seeking an FIR against Justice Varma while the in-house inquiry was pending.
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