Burnt cash, ‘conspiracy’: Delhi HC CJ’s inquiry report on Justice Yashwant Varma released | Explained in 5 points

The Supreme Court released the detailed inquiry report, filed by Delhi High Court Chief Justice (CJ) Devendra Kumar Upadhyay, into the controversy involving High Court Justice Yashwant Varma, as per a press release by the Supreme Court.

Chief Justice of India (CJI) Sanjiv Khanna constituted a three-member committee to probe the allegations against Justice Yashwant Varma, a sitting Judge of the High Court of Delhi.

The committee consisted of Justice Sheel Nagu, Chief Justice of the High Court of Punjab & Haryana, Justice GS Sandhawalia, Chief Justice of the High Court of Himachal Pradesh, and Justice Anu Sivaraman, Judge of the High Court of Karnataka.

Justice Varma got embroiled in the controversy after a massive pile of cash was recovered from his official bungalow. The room where the fire had taken place, which is said to be adjacent to the office. The official residence of Justice Yashwant Varma is located at 30, Tughlak Crescent, New Delhi.

According to media reports, a fire at the judge's house inadvertently led to the firefighters' recovery of cash. The cash was found initially by fire tenders when a fire broke out in the judge's residence on March 14. The judge was not present at his house.

Here are details of the report:

1. Room that caught fire: Photos and videos of burnt cash, ‘articles’

The room that caught fire and where the cash was allegedly found was an outhouse, and not the main building where the judge and family reside.

The report includes a video shared by Delhi Police commissioner Sanjay Arora, which shows burnt cash in the room. It was "found out that it was complete dark inside the room and the walls had developed cracks," stated the report shared with Delhi High Court Chief Justice Devendra Kumar Upadhyaya.

It was reported that half-burnt articles and burnt debris were lying on the room's floor. The judge's Private Secretary told Delhi HC CJ Upadhyay "that the room was being used as a store room to keep useless articles of the household and remained accessible to all as it was not kept locked."

"The Commissioner of Police also informed me that as per the Security Guard posted at your residence, some debris and half burnt articles were removed in the morning of 15.3.2025," Devendra Kumar Upadhyay told Justice Varma.

2. The 'conspiracy'

Chief Justice Devendra Kumar Upadhyaya informed that accused Justice Verma told him that at the moment, "black burnt material (soot) is lying in the room."

"I thereafter showed him the photographs and the video on my WhatsApp which were shared with me by the Commissioner of Police. He then expressed some apprehension about some conspiracy against him," the Delhi HC CJ said in the letter.

Meanwhile, Justice Varma told the Delhi HC CJ in his response, "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 said.

Justice Varma said that the room was generally utilised by all and sundry to store articles such as unused furniture, bottles, crockery, mattresses, used carpets, old speakers, garden implements as well as CPWD material.

Varma denied police's claim and said there was no 'removal' of currency which was allegedly found at the site or removed from the premises.

"The only thing which was cleared was debris and what they considered to be salvageable. That is still present in the house and can be seen kept apart in one part of the residence," he added.

3. 'Deeper probe'

In his report, Delhi High Court Chief Justice Devendra Kumar Upadhyaya said that he is of the prima facie opinion that the entire matter warrants a deeper probe.

4. Three questions for Justice Varma. He answers

CJI Sanjiv Khanna also said three question must be asked to Justice Varma:

1. How does he account for the presence of money/cash in the room located in his premises?

Answer: As already stated, I was never aware of any money or cash lying in the outhouse storeroom. Neither I nor any of my family members had any knowledge of cash nor does it have any bearing or relation with me or my family. No such cash or currency was shown to my family members or staff who were present on that fateful night."

2. Explain the source of money/cash which was found in the said room.

Answer: “In light of my response above, the question of explaining the source of the currency does not arise.”

3. Who is the person who had removed the burnt money/cash from the room in the morning of March 15, 2025

Answer: "I also strongly deny and outrightly reject the insinuation, if made, that we removed currency from the storeroom. As stated above, we were neither shown nor anded over any sacks of burnt currency. In fact, and as stated above, the limited debris which was sought to be salvaged continues to exist in one part of the residence.

As stated above, I and along with my wife returned from Bhopal on Indigo Flight No. 6E 2303 only on the evening of 15 March 2025 Therefore, the question of its alleged removal is not known to us. In any event none of my staff removed any article, currency or cash in any form."

5. Don't dispose of mobile phone'

The Chief Justice of the Delhi High Court, Devendra Kumar Upadhyay, instructed Justice Yashwant Varma to preserve all communication on his phone while acting on the directive of the Chief Justice of India (CJI); this included conversations, messages, and data, as the controversy surrounding him continued to unfold.

In a letter to Dear Justice Upadhyaya on March 21, CJI Sanjiv Khanna said Justice Yashwant Varma “may be requested to not dispose of his mobile phone(s) or delete or modify any conversation, messages or data from his mobile phone(s).”