The Kerala High Court on Tuesday directed the Vigilance and Anti-Corruption Bureau (VACB) to register a criminal case and conduct a comprehensive probe into the alleged large-scale misappropriation of funds by employees of the Travancore Devaswom Board (TDB) related to the sale of Adiya Sishtam Ghee, a sacred offering at the Sabarimala temple.
A Division Bench of Justices Raja Vijayaraghavan V and K V Jayakumar observed that it was “shocked and deeply disturbed” by the scale and nature of the diversion of funds, which occurred over a period of less than two months.
The court directed the VACB Director to constitute a team of “upright and competent officers” to investigate the matter, with the team answerable only to the court. A progress report is to be submitted within one month.
“Before filing the final report, prior permission of this court shall be obtained,” the order read.
The probe was initiated based on a suo motu petition registered by the court following a report from the TDB’s Chief Vigilance and Security Officer. The report highlighted that proceeds from the sale of 16,628 ghee packets had not been remitted to the Board’s account.
The court noted that out of these, sale proceeds for 13,679 packets, worth ₹13,67,900, were missing. Additionally, there was an inventory shortage of 22,565 packets during the brief period from December 27, 2025 to January 2, 2026, causing a revenue loss of ₹22,65,500. Together, the estimated loss exceeded ₹35 lakh.
“The magnitude of the short remittance, within a limited window of time, is alarming and cannot be brushed aside as an accounting lapse,” the bench observed.
The bench pulled up the TDB for what it termed “deep-rooted and systemic failures in supervision, stock control, verification mechanisms, and timely remittance of collections.” It held that such large-scale misappropriation was unlikely without the “knowledge, acquiescence, or at least willful blindness” of higher officials in the administrative hierarchy.
“The failure to institute even basic safeguards amounts to grave dereliction of duty,” the court said.
The court further noted that the situation indicated that certain employees were more interested in personal gain than in fulfilling their responsibilities to the institution and the devotees.
The court stated that the facts disclosed a prima facie case of:
- Criminal misappropriation
- Falsification of accounts
- Other cognizable offences under the Bharatiya Nyaya Sanhita, 2023
- Violations of the Prevention of Corruption Act, 1988
It also highlighted serious procedural lapses, such as the lack of stock-taking and failure to maintain proper records during personnel changes at the sales counters. These lapses, it said, created a conducive environment for fraud and undermined accountability.
One TDB employee, Sunil Kumar Potty, was specifically named in the report for failing to issue receipts and delaying the remittance of ₹68,200 for 17 days. The Board informed the court that he had been suspended and further action was being considered.
The court commented that such behaviour reflected “deliberate concealment and improper handling of public funds.”
The bench recalled that it had flagged similar revenue mismanagement issues in the past and warned the Board that repeated lapses could only suggest either indifference or complicity by senior officials.
“Any continued failure to act can only lead to the inference that the higher echelons of the Board are either unwilling or complicit in permitting such systemic lapses to continue,” the order said.
The Vigilance and Anti-Corruption Bureau has been tasked with filing its progress report within a month. The court emphasized that a thorough and transparent investigation was essential to safeguard public faith and the sanctity of religious offerings.
