Judge Facing Cash Haul Probe Was Already in CBI’s 2018 FIR

New Delhi : Justice Yashwant Varma, a sitting judge of the Delhi High Court, has come under scrutiny after a pile of unaccounted cash was allegedly discovered at his Delhi residence on March 14. Adding to the controversy, it has now emerged that he was named in a Central Bureau of Investigation (CBI) FIR linked to a major bank fraud case involving Simbhaoli Sugar Mills in 2018.

The CBI had registered the FIR against Simbhaoli Sugar Mills, its directors, and several others, including Yashwant Varma, who was then serving as a non-executive director of the company. The case originated from a complaint by the Oriental Bank of Commerce (OBC), which accused the sugar mill of orchestrating a fraudulent loan scheme that resulted in significant financial losses.

According to the bank’s complaint, between January and March 2012, the Hapur branch of OBC disbursed Rs 148.59 crore to 5,762 farmers under a scheme intended to help them purchase fertilisers and seeds. As per the agreement, the loan funds were to be transferred to an escrow account before being distributed to the farmers’ personal accounts. Simbhaoli Sugar Mills had guaranteed the repayment of these loans, along with covering any defaults or cases of identity fraud by the farmers.

However, the CBI’s investigation later revealed that a substantial portion of the funds never reached the intended beneficiaries. Instead, the money was allegedly diverted and misused by the company, resulting in a massive financial scam. The fraudulent transactions led to a non-performing asset (NPA) classification by the bank, which subsequently triggered the involvement of the investigative agencies.

With the recent discovery of unaccounted cash at Justice Varma’s residence, fresh questions have been raised about his past association with the scandal. While the exact amount of cash found at his home has not been officially disclosed, sources indicate that it was a significant sum, prompting further investigations by the authorities.

The legal and judicial fraternity has been left stunned by these revelations, and there are growing calls for a thorough inquiry to determine whether Justice Varma had any direct involvement in the financial irregularities of Simbhaoli Sugar Mills. The Enforcement Directorate (ED) and CBI are now expected to examine the nature of the cash haul and its possible links to past financial crimes.