Judicial Concerns Raised Following Cash Discovery at Judge’s Residence
Justice Yashwant Varma, a Delhi High Court judge, was implicated in a cash discovery linked to a CBI FIR regarding a sugar mill fraud. The case involved alleged embezzlement of funds meant for farmers. High-level investigations are underway, with calls for judiciary reforms prompted by the scandal, indicating significant institutional concerns about corruption and accountability.
Justice Yashwant Varma of the Delhi High Court was allegedly linked to a substantial cash discovery during an investigation at his residence. The Central Bureau of Investigation (CBI) named him in a 2018 FIR concerning a fraud case related to Simbhaoli Sugar Mills, highlighting his previous role as a non-executive director. The fraud involved the misappropriation of funds intended for farmer loans under the guise of a fraudulent scheme established by the sugar mill.
The Oriental Bank of Commerce (OBC) initiated the FIR after reporting that it had disbursed Rs 148.59 crore to farmers, guaranteed by Simbhaoli Sugar Mills. The funds were supposed to be transferred to an escrow account but were allegedly embezzled by the company using fabricated Know Your Customer (KYC) documents. By mid-2015, OBC identified total losses reaching Rs 97.85 crore.
The CBI’s investigation also named Gurpal Singh, a key player in the company and a relative of a former chief minister. The case escalated with the Enforcement Directorate launching a parallel probe into money laundering, prompted by the findings from the CBI.
In late 2023, the Allahabad High Court mandated a renewed CBI investigation into irregularities in loans extended to the sugar mill by seven banks, highlighting corruption among bank officials. The court found that numerous loans totaling Rs 900 crore were granted despite the company being a known defaulter, leading to significant institutional failure.
Following these developments, the Supreme Court intervened to stay the Allahabad High Court’s directives in March 2024, adding complexity to the ongoing investigations. Shortly before, in March, a fire at Justice Varma’s home revealed cash among damaged property, which precipitated a senior inquiry by the Chief Justice of India.
The judiciary’s integrity has been significantly questioned in the wake of this incident, with various legal experts demanding transparency and accountability. Senior advocate Kapil Sibal emphasized the need to reformulate the judicial appointment process due to the growing concerns about corruption.
Former Solicitor General Harish Salve criticized the lack of clarity in the inquiry, suggesting its necessity based on bravely inconsistent statements regarding the cash recovery. He called for an independent panel to safeguard the credibility of both the investigation and the judicial response to this serious allegation.
The case surrounding Justice Yashwant Varma and the discovery of unaccounted cash at his residence signifies a critical moment for the Indian judiciary, raising questions about ethical practices. The subsequent inquiries, ongoing investigations, and calls for reformations reflect a judicial landscape under scrutiny, insisting on greater transparency and accountability within its ranks. The outcome of these inquiries will have lasting implications for the integrity of judicial appointments and operations in India.
Original Source: www.ndtv.com
