Moreover, the legendary characters of Gabbar Singh and Basanti are now renamed as Babban Singh and Ghungroo.
This was conveyed to the court by counsel of Sasha Sippy, the grandson of G.P. Sippy who produced the 1970s blockbuster.
Sasha Sippy had filed a petition of infringement of trademark and copyright against Varma's project, seeking direction from the court to restrain the release of the film with word "Sholay" in its title.
His counsel Wednesday told the court that a website has reported that Varma has changed the names of the film and the characters.
Justice Gita Mittal said if the change in title and names of characters was acceptable to Sippy, it would end the issue of release of the film.
Varma's advocate Rajiv Nayar said he would ascertain the facts from his client and would report to the court in a week.
According to the website, the film is scheduled to be released on July 13.