Delhi HC Justice Yashwant Varma under scrutiny after cash recovery at home, revives Simbhaoli Sugar Mill scam debate
PTC Web Desk: The recent discovery of a large amount of cash at the residence of Delhi High Court Justice Yashwant Varma has brought renewed attention to the Simbhaoli Sugar Mill fraud case, a financial scandal that had largely faded from public memory. This incident has raised fresh concerns about his past financial dealings, particularly his involvement with the embattled company accused of misappropriating bank loans.
Justice Varma, who has maintained a spotless reputation throughout his 22-year judicial career, found himself at the centre of controversy after a fire incident at his official residence led to the unearthing of substantial cash reserves. The recovery has once again put the spotlight on his alleged role in Simbhaoli Sugars Limited, a company implicated in a multi-crore bank fraud.
Simbhaoli Sugar Mill Scam
The case dates back to February 2018, when the CBI initiated an investigation into Simbhaoli Sugars following a complaint from the Oriental Bank of Commerce (OBC). The bank alleged that the company fraudulently diverted a Rs 97.85 crore loan that was originally meant to benefit farmers. By May 2015, financial irregularities at the company had already been flagged, prompting the Reserve Bank of India (RBI) to classify it as a “suspected fraud” case.
As part of the investigation, the CBI filed an FIR against 12 persons, including Yashwant Varma, who was listed as the 10th accused in his capacity as a Non-Executive Director of Simbhaoli Sugars at the time. However, despite the seriousness of the allegations, the case gradually lost momentum, and no significant action was taken against any of the accused, including Justice Varma.
In February 2024, a court issued an order instructing the CBI to resume its investigation into the stalled case. However, before any substantial progress could be made, the Supreme Court intervened and overturned the directive, effectively leading to the immediate closure of the CBI’s Preliminary Enquiry (PE) into Simbhaoli Sugars’ financial misdealings. This ruling halted any further probe into the suspected fraud and its key figures.
The recent recovery of unaccounted cash from Justice Varma’s residence has reignited speculation about his past financial connections and possible involvement in the Simbhaoli Sugars case. Many are now questioning whether his previous links to the fraud case were properly investigated or if the authorities overlooked critical details.
- With inputs from agencies
