Judge Caught in Cash Scandal Relieved of Duties by Delhi High Court

Justice Yashwant Varma of the Delhi High Court has been relieved of active duties with immediate effect, pending further orders, following the discovery of a pile of burnt cash at his residence on Holi. The announcement was made on Monday morning by Delhi High Court Chief Justice DK Upadhyaya.  Justice Varma, who was appointed in October 2021, presided over a division bench handling cases related to sales tax, goods and services tax, and company appeals, as per the Delhi High Court website.  

This development comes after the Supreme Court constituted a three-member committee—including the chief justices of the Punjab and Haryana, Himachal Pradesh, and Karnataka High Courts—to investigate the incident.  Last week, Justice Varma denied any involvement, stating that neither he nor his family had stored money in the outhouse. He described the structure as separate from the main residence, left unlocked, and accessible to others. Expressing shock, he called the incident a "conspiracy" against him.

Justice Varma asserted that his family's financial transactions, including cash withdrawals, are properly documented and conducted exclusively through regular banking channels, UPI applications, and card payments.The controversy surrounding Justice Varma emerged last week after news of the burnt cash discovery became public. In response, the Supreme Court Collegium decided to transfer him back to the Allahabad High Court.

The proposed transfer sparked strong calls for a comprehensive investigation. Among the critics was senior advocate Harish Salve, who told that the Collegium system is "not equipped" to handle such matters. He suggested that the transfer should be paused until all facts are thoroughly examined.The Supreme Court later clarified that Justice Varma's transfer was not connected to the investigation into the cash discovered at his residence. Dismissing claims as "misinformation" and "rumors," the court also announced an internal inquiry into the matter.

In an unprecedented step to ensure transparency, the Supreme Court has made public a report filed by the Delhi High Court, which includes photographs and videos. However, certain sections have been redacted to maintain confidentiality. The discovery of the burnt cash has also been surrounded by controversy, particularly after Delhi Fire Services chief Atul Garg denied making any statement claiming no money was found. When asked why his name was being cited, Mr. Garg expressed uncertainty, stating, "I don't know why," and confirmed that he had already sent a clarification to media outlets reporting the incorrect statement.