In a startling development that has sent ripples through the higher judiciary, a three-judge inquiry panel has recommended impeachment proceedings against Justice Yashwant Varma of the Allahabad High Court. The panel found credible evidence linking him to a suspicious fire incident at his official residence in Delhi, which led to the discovery of large quantities of burnt ?500 currency notes.
? The Incident
The fire broke out late at night on March 14, 2025, at Justice Varma’s government bungalow on Tughlak Crescent in New Delhi. Firefighters and police officers on the scene were stunned to find bundles of charred cash in a locked storeroom—an area determined to be under the control of Justice Varma and his family. One fire officer described the moment:
> "I was shocked and surprised by such a large amount of burnt cash right in front of me."
Videos and photographs with verified geo-coordinates, as well as the testimonies of at least ten witnesses, confirmed the presence of burnt or half-burnt currency. A widely circulated clip featured a fire officer saying, "Mahatma Gandhi me aag lag rahi hai", referring grimly to the burning ?500 notes bearing Gandhi’s image.
? The Inquiry Panel
The panel—comprising Chief Justices Sheel Nagu, G.S. Sandhawalia, and Justice Anu Sivaraman—was formed by then Chief Justice of India Sanjiv Khanna. Their 64-page report squarely stated:
Yes, burnt cash was found at the residence.
Yes, the store room was in Justice Varma's premises and within his or his family's control.
No, Justice Varma could not provide a satisfactory explanation for the money.
The panel also found that the cash was hastily cleared out in the early hours of March 15, allegedly by Justice Varma’s staff and private secretary, Rajinder Singh Karki, who reportedly instructed fire personnel not to record the cash and helped clean the site the next day. These actions, the report said, pointed to an attempted cover-up.
?? Justice Varma’s Response
Justice Varma, who was in Bhopal when the fire occurred, has strongly denied the allegations. In a 101-page rebuttal, he called the inquiry process "fundamentally unjust," arguing that he was forced to disprove a presumption of guilt without clear evidence. He also raised concerns about the panel's failure to retrieve CCTV footage or explore the possibility of evidence being planted.
However, the panel dismissed these defenses as unconvincing and lacking any material support. It concluded that, regardless of whether Justice Varma directly handled the cash, its presence on his premises without explanation amounted to a breach of public trust.
As the matter moves towards possible impeachment proceedings, it marks a rare and serious moment for judicial accountability in India.
