I'm with you on Varga - I loathed him and wanted the smile to fade from his face when the three agents walked into the room. End scene.
With criminals this disgusting, I want justice. At least in Season 2, Hanzee is somewhat sympathetic, the wretched Gerhardt clan is wiped out, and Mike Milligan is sentenced to the prison of bureaucracy. And in Season 1, Lorne Malvo was so horrible that he HAD to die.
I think there are several clues scattered throughout the season that strongly imply that Varga went to jail:
A major theme of Season 3 is what is solid and enduring vs. what is fleeting and impermanent. The importance of authentic human connection is emphasized even moreso than in the previous seasons, e.g between Gloria and her son, or between Gloria and the other cop. Even the seemingly strange plot point of female bodily functions - two scenes involving tampons - mean something about solidity in the world - fertility.
Varga has lost what fragile human connections he once had, and at this point is apparently a rootless international wanderer. And what bodily function do we see him perform? Vomiting. He's bulimic, which is generally a sign of self-loathing. He even hates himself. At the end, the shadows close around him, while Gloria remains brightly lit, and a smile begins to creep across her face. This could be seen as Varga's immateriality as a person about to literally come true, as he will be taken to prison and disappear forever.
Of course, as another poster noted, the shadows closing in could just as easily be taken to mean that Varga will disappear back out into the world. The ambiguity is still there, of course.
Finally, in the Peter and the Wolf comparison narrated by Billy Bob Thornton, Gloria is Peter, and Varga is the wolf. In the fairy tale, the wolf is caught :)
Either way, we can find satisfaction in the fact that Varga will remain a friendless, rootless, self-loathing man, and Gloria will go back to her happy life.
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