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With Chief Justice of India Sanjiv Khanna constituting a three-member panel to probe the discovery of "four to five semi-burnt sacks" of Indian currency notes after a fire incident at the residence of Delhi High Court judge Yashwant Varma, the in-house procedure has entered the crucial second-stage whose findings will decide the fate of the judge. The fire incident at the storeroom of the official residence of Justice Varma on March 14 in posh Lutyens' Delhi locality purportedly led to the discovery of the cash by firefighters and police personnel. The CJI constituted the three-member panel after the Delhi High Court Chief Justice Devendra Kumar Upadhyaya in his report dated March 21 and made public on Saturday evening called for a "deeper probe" into the allegations. The three-member inquiry committee formed by the CJI consists of Justices Sheel Nagu (Chief Justice of the Punjab and Haryana High Court), G S Sandhawalia (Chief Justice of the Himachal Pradesh High Court) and Karnataka High Court judge Anu Sivaraman. However, no timeline has been fixed for the inquiry committee to conclude the probe. In 2014, while dealing with a case of alleged sexual harassment of a subordinate court judge in Madhya Pradesh at the behest of a sitting judge of the high court, the top court laid down the in-house procedure meant to probe the allegations against a judge of the constitutional courts. It said in the first stage of the in-house procedure, the prima facie veracity of the allegations contained in the complaint is ascertained. "If so, whether a deeper probe is called for. The first stage does not contemplate an in-depth examination of the allegations. It requires merely an assessment based on the contents of the complaint, and the response of the concerned judge. "All that the Chief Justice of the High Court is required to do, is to determine whether a deeper probe is required. This is to be done, on the basis of a logical assessment made on a consideration of the response of the concerned Judge (with reference to the allegations levelled in the complaint)," it had said. The top court had said it is the "second stage of the in-house procedure" relating to sitting judges of high courts which could lead to serious consequences. The second stage is monitored by none other than the CJI, it had said. Only if the Chief Justice of India endorses the view expressed by the Chief Justice of the high court, that a deeper probe is called for, he would constitute a "three-member Committee", and thereby take the investigative process to the second stage. This committee will comprise two Chief Justices of the High Courts (other than the concerned High Court), besides a Judge of a High Court. The second stage postulates a deeper probe, it had said. The top court had said even though the three-member panel is at liberty to devise its own procedure, the inherent requirement provided for is that the procedure evolved should be in consonance with the rules of natural justice. "Herein, for the first time, the authenticity of the allegations is to be probed on the basis of an inquiry. "The incumbents of the three-member Committee would have no nexus with the concerned judge. Not only would the concerned judge have a fair opportunity to repudiate the allegations levelled against him, even the complainant would have the satisfaction that the investigation would not be unfair. The in-house procedure was devised to ensure exclusion of favouritism, prejudice or bias," it had said. The top court had also enumerated different steps that are to be followed during the in-house procedure for probing into the allegations against a sitting high court judge. It said on the culmination of the inquiry, conducted by the panel, it shall record its conclusions and a report be furnished to the CJI. The top court had said that the report of the panel could lead to one of the following conclusions -- that, there is no substance in the allegations levelled against the concerned judge; or that there is sufficient substance in the allegations levelled against the judge. "In such eventuality, the three-member Committee, must further opine, whether the misconduct levelled against the concerned Judge is so serious, that it requires initiation of proceedings for the removal of the concerned Judge; or that, the allegations contained in the complaint are not serious enough to require initiation of proceedings for the removal of the concerned Judge," it had said. The top court had said if the panel arrives at the conclusion, that the misconduct is not serious enough for initiation of proceedings for the removal of the judge concerned, the CJI would advise the judge, and may also direct, that the report of the panel be placed on record. "If the three-member Committee has concluded, that there is substance in the allegations, for initiation of proceedings, for the removal of the concerned judge, the Chief Justice of India shall proceed as under:- (i) The concerned judge will be advised, by the Chief Justice of India, to resign or to seek voluntary retirement. (ii) In case the concerned Judge does not accept the advice of the Chief Justice of India, the Chief Justice of India, would require the Chief Justice of the concerned High Court, not to allocate any judicial work, to the concerned Judge," the top court had said. Making an exception in this case, CJI Sanjiv Khanna had asked the Delhi High Court chief justice not to assign any judicial work to Justice Varma for the time being. The 2014 verdict said that in the eventuality of the judge concerned not abiding by the advice of the CJI to resign, then the CJI would intimate the President of India, and the Prime Minister of India, of the findings of the three-member Committee, warranting initiation of proceedings for his removal. The 25-page inquiry report of Justice Upadhyaya, uploaded on the apex court's website, contains two short notes in Hindi that mention that after the fire at the storeroom of Justice Varma's residence on March 14 was doused, four to five half-burnt sacks containing currency notes were found. The report said prima facie, it seemed that a short-circuit had led to the fire. The video, also shared by Delhi Police Commissioner Sanjay Arora with Justice Upadhyaya, clearly shows burnt cash and firefighters dousing the flames. Justice Varma has, in his response, strongly denounced the allegations and said no cash was ever placed in the storeroom either by him or any of his family members.

The stock market's focus has now shifted to FY26 earnings, which are expected to grow by 12-13%, following a 5-6% earnings downgrade over the past six months, says Srinivas Rao Ravuri, Chief Investment Officer, Bajaj Allianz Life Insurance.While a 12-13% earnings growth rate may not seem particularly strong at first glance, we believe it represents a credible target given the prevailing global uncertainties, he said in an interview with ET Markets.Edited excerpts from a conversation:What is your outlook on equity markets for the next 12–18 months, considering global uncertainties and domestic growth trends? Is this the time to buy the fear?The global environment remains highly volatile, with uncertainties surrounding tariff-related actions by the new U.S. administration. On the domestic front, conditions appear to be improving, as high-frequency indicators suggest a return to growth normalization. Following the market correction over the past six months, valuations—particularly for large-cap stocks—now seem reasonable. Consequently, our outlook for equities has improved from a 12- to 18-month perspective.However, given the inherent volatility of equity markets, we believe investors should adopt a long-term perspective, ideally with a minimum investment horizon of three to five years. Equity investments should be limited to funds that investors do not anticipate needing for at least the next three years.For such long-term horizons, the outlook for Indian equities remains positive, supported by favorable demographics. India’s large and young population aspires to improve their standard of living, including better housing and automobiles. These fundamental aspirations alone can drive substantial economic growth. Additionally, various other evolving societal needs, when met, will further contribute to economic expansion and equity market returns.Thus, we maintain that the long-term outlook for Indian equities remains highly constructive, and in our view, equities continue to be the most effective asset class for long-term wealth creation.With interest rate cycles shifting globally, how do you see Indian markets reacting in the near term?Following a period of relatively synchronized central bank policy actions, we are now witnessing divergence in interest rate cycles across the globe. While the U.S. Federal Reserve maintained the status quo on interest rates in its latest monetary policy, the Reserve Bank of India (RBI) implemented its first rate cut in five years in February. Furthermore, the likelihood of an additional rate cut in the upcoming April policy review remains reasonably high. Meanwhile, Japan’s central bank is expected to hike interest rates in the coming months.Equity markets generally favor lower interest rates, and further rate cuts by the RBI would provide additional support to market sentiment. However, while interest rates are an important factor, they are not the primary concern for equity markets in the current environment. In our view, the key determinant of equity market outlook remains the progress toward a revival in economic activity and corporate earnings growth over the next few quarters.Which sectors do you believe hold the most promise for long-term investors, and why?The banking sector is attractive from a risk-reward perspective. While earnings growth may moderate as credit costs normalize from historically low levels, we still expect banks to deliver strong returns on equity (ROEs). With most banks currently trading at a discount to their historical price-to-book (P/B) multiples, we believe private banks offer a compelling opportunity to generate returns above the broader market.Companies and sectors well-positioned to meet the evolving needs of India’s growing population may present the most attractive long-term investment opportunities. The success of businesses in the food delivery and quick commerce segments—both uniquely suited to the Indian market—demonstrates the potential for high-growth opportunities within the broader consumption sector. Additionally, the financialization of the economy continues to create compelling businesses.We also see significant potential in the domestic manufacturing sector, particularly in areas such as energy transition, electronics manufacturing, railways, and defense, as these segments offer strong growth potential and earnings visibility over the medium term.However, investment outcomes are largely determined by the price paid, making it crucial to remain mindful of valuations at all times.How do you approach asset allocation in a volatile market scenario to ensure consistent returns for policyholders?Asset allocation is a critical component of financial planning, and a well-structured asset allocation framework can help investors achieve superior risk-adjusted returns. In this context, the role of an experienced financial planner becomes crucial, as asset allocation decisions must be tailored to an individual’s specific needs and financial situation. While every investor aims to maximize returns, the focus should be on making strategic asset allocation decisions that align with their unique financial goals and risk tolerance.In recent years, there has been a noticeable shift in saving patterns. Traditionally, savings were concentrated in physical assets such as real estate and gold; however, there is now a gradual transition toward financial assets, including insurance, mutual funds, and direct equity investments. We believe this shift represents the early stages of a structural transformation, one that is likely to continue for many years.As the financialization of savings accelerates, the importance of efficient asset allocation becomes even more pronounced. Given the complexities involved, we strongly recommend seeking professional financial advice to optimize asset allocation and enhance long-term wealth creation.With the launch of the Bajaj Allianz Life Focused 25 Fund, how does a concentrated portfolio of up to 25 high-growth potential stocks provide an edge over diversified funds, and what makes this strategy particularly relevant in the current market environment?The growing Indian economy and flourishing entrepreneurship have created several compounders for equity investors. However, few companies outperform others over a longer period of time. For example, over the last five years, within the Nifty 100 index, more than 70% of the overall index return was contributed by 25 stocks. Identifying such winners and allocating large weights to such stocks in the portfolio is likely to generate better portfolio returns.What are your expectations from the Q4 earnings season? Do you believe the worst of the downgrades is behind us, and are we now entering a phase of gradual earnings recovery and growth?The outlook for Q4 FY25 earnings indicates a marginal improvement compared to the trends observed in the previous three quarters. As a result, we expect FY25 to conclude with mid-single-digit earnings growth for the Nifty 50, marking a multi-year low.However, the focus has now shifted to FY26 earnings, which we anticipate will grow by 12-13%, following a 5-6% earnings downgrade over the past six months. While a 12-13% earnings growth rate may not seem particularly strong at first glance, we believe it represents a credible target given the prevailing global uncertainties.Looking ahead to FY27, early estimates suggest a similar 13% earnings growth. If achieved, this would support India’s ability to maintain its relatively premium valuation multiples.