Highly placed sources has claimed to ETLegalworld that Delhi Police has submitted a report which analyses the state of the recovered cash, including serial numbers, series, and security features. Forensic checks have been conducted using UV and infrared tools to verify authenticity. The report, as per sources, has deeply analyzed the state of cash recovered after burning. The police have also provided details on the condition of the notes found—whether unburnt, fully burnt, or partially burnt.
Following the controversy, Chief Justice of India (CJI) Sanjiv Khanna constituted a three-member committee comprising Justices Sheel Nagu, G.S. Sandhawalia, and Anu Sivaram to probe the matter. The Delhi High Court Chief Justice, D.K. Upadhyaya, had earlier submitted a preliminary report, which was later made public by the Supreme Court to ensure transparency.
The case came to light on March 14, 2025, when a fire broke out at Justice Varma’s official residence at 30 Tughlak Crescent, New Delhi. While extinguishing the blaze in an outhouse storeroom, firefighters allegedly discovered a significant amount of cash, partially burnt and stashed in jute sacks.
Justice Varma has strongly denied the allegations, asserting that no cash was recovered from his residence. He claimed the fire occurred in an unlocked outhouse accessible to staff and Central Public Works Department (CPWD) personnel, suggesting that the incident might be a conspiracy to tarnish his reputation. Despite his defense, the absence of an FIR has sparked debates about judicial accountability and equality before the law.
Union Home Minister Amit Shah addressed the issue at the Times Now Summit 2025, marking the government’s first public response. He emphasized that the CJI had taken cognizance of the matter and formed a judicial panel. “A committee has been formed, and they are investigating. They are requesting documents from the Delhi Police and Fire Department, which we are providing. No FIR can be registered without the CJI’s permission. When no FIR can be registered, how can a seizure be carried out? A panel of judges is looking into the matter, and we should wait for its report,” Shah stated.
Amid the ongoing inquiry, the government has notified the transfer of Justice Yashwant Varma from the Delhi High Court to the Allahabad High Court. The Supreme Court Collegium had earlier recommended his repatriation to his parent high court following the controversy. Additionally, Justice Varma was de-rostered by the Delhi High Court after a directive from the CJI.
The Supreme Court on Friday declined to entertain a Public Interest Litigation (PIL) seeking the registration of an FIR regarding the alleged recovery of cash. Justices Abhay S. Oka and Ujjal Bhuyan stated that the issues raised by advocate Mathews Nedumpara were premature, as an in-house inquiry was already underway. The bench clarified that after the inquiry report is submitted, several options, including directing the registration of an FIR or referring the matter to Parliament, would be considered.
As the judicial probe continues, the findings of the committee will determine the next course of action, which could range from clearing Justice Varma of any wrongdoing to recommending criminal proceedings or impeachment.
