Justice Yashwant Varma May Resign to Avoid Impeachment Over Cash Discovery Scandal

Cash Discovery Scandal: Justice Yashwant Varma of the Allahabad High Court is facing mounting pressure to resign, as the government moves toward initiating impeachment proceedings against him during the upcoming Monsoon Session of Parliament. The controversy stems from the discovery of large amounts of burnt cash at his residence in Delhi earlier this year, which has since triggered serious corruption allegations.

According to sources familiar with judicial procedures, resignation is currently the only viable route for Justice Varma to safeguard his retirement benefits, including pension. If removed by Parliament, he will lose all entitlements that come with a retired judge’s status. On the other hand, if he steps down voluntarily—even through a verbal statement during his defense before Parliament—it will be accepted as resignation, as per Article 217 of the Indian Constitution.

This article permits a High Court judge to resign by writing addressed to the President. Notably, such resignation does not require official approval, and a judge may even indicate a future date for stepping down, with the option to withdraw before that date.

The impeachment process, governed by the Judges (Inquiry) Act of 1968, involves the submission of a removal motion supported by at least 100 MPs in the Lok Sabha or 50 in the Rajya Sabha. Once admitted, a three-member committee—comprising the Chief Justice of India or a Supreme Court judge, a High Court Chief Justice, and a distinguished jurist—is formed to investigate the matter.

However, in this unprecedented case, an in-house inquiry panel formed by then Chief Justice of India Sanjiv Khanna has already completed a detailed investigation. This report was submitted to the President and Prime Minister, and it strongly recommended Justice Varma’s removal.

Parliamentary Affairs Minister Kiren Rijiju recently acknowledged the uniqueness of this situation, stating that while procedural rules must be followed, the government must now decide how to integrate the findings of the in-house panel with the statutory process under the Judges (Inquiry) Act. The minister emphasized that the committee formed by the CJI cannot be overlooked.

The scandal erupted in March when a fire broke out at Justice Varma’s residence in Delhi, leading to the recovery of several charred sacks filled with cash. Although Justice Varma denied knowledge of the funds, a Supreme Court-appointed committee found enough grounds to implicate him after interviewing witnesses and recording his statement.

Following the scandal, he was transferred back to the Allahabad High Court, where he currently holds no judicial responsibilities.

This will be the first impeachment proceeding to take place in the newly inaugurated Parliament building. Legal experts note that past judges like Justice V. Ramaswami and Justice Soumitra Sen, who faced similar proceedings, opted to resign before Parliament could act—preserving their pensions and dignity.

As the Monsoon Session approaches, all eyes are on Justice Varma and whether he will choose resignation over the humiliation of removal—a decision that will not only determine his legacy but may also set a critical precedent for judicial accountability in India.