'Deep-Rooted, Systemic Failure': Kerala High Court Directs Probe Into Alleged ₹35 Lakh Embezzlement Of Ghee Sales At Sabarimala

The Division Bench of Justices Raja Vijayaraghavan V. and K.V. Jayakumar passed the order while considering a suo motu petition initiated on the basis of a report by the Sabarimala Special Commissioner. It said:

“If the siphoning of amounts for a short period of just under two months, confined only to the sale of “Adiya Sishtam Ghee”, is to the tune of approximately ₹35 lakhs, it is difficult to even imagine the magnitude of misappropriation that may have occurred over a longer period and across other revenue streams… In the above circumstances, we are of the view that a comprehensive investigation is required to ascertain the full extent of the misappropriation of funds by employees of the Travancore Devaswom Board at Sannidhanam in relation to the sale of “Adiya Sishtam Ghee”.”

"The Chief Vigilance and Security Officer shall forthwith forward the complaint dated 10.01.2026 to the Director, Vigilance & Anti-Corruption Bureau. The Additional 7th respondent (Director, Vigilance and Anti-Corruption Bureau department) shall constitute a team of upright and competent officers and shall initiate steps to register a crime on the strength of the report dated 10.01.2026 submitted by the Chief Vigilance and Security Officer. The team so constituted shall conduct a meticulous, coordinated, and effective investigation into the matters referred to above and those disclosed in the said report. It is made clear that the team shall not disclose any details of the investigation to the public or the media" the court added.

According to the Special report, the sale proceeds of around 16,628 packets of Adiya Sishtam Ghee, a sacred offering sold to devotees, sold at Rs. 100 in the counter from November 11 to December 26, 2025 had not been remitted to the Devaswom account.

Out of the 89,129 packets sold in the counter, the sale proceeds of only 75,450 packets were remitted and the price of 13,679 totalling Rs. 13,67,900 was not remitted. The Court also noted a shortage of 22, 565 packets in the balance stock, which would have generated Rs. 22,65,500 revenue.

This, in the Court's opinion, was not a mere case of negligence but made a prima facie case of cognizable offences under the Bharatiya Nyaya Sanhita, including criminal misappropriation, falsification of accounts/records, etc. as well as offences under the Prevention of Corruption Act.

Also flagging the irregular and careless manner in which records have been maintained, the Court observed that this was a calculated move intended to facilitate misappropriation and siphoning of funds.

“We are shocked and deeply disturbed by the turn of events. The misappropriation detected pertains to a short period of less than two months. The very fact that such large-scale diversion of funds could occur within such a limited span of time clearly points to deep-rooted and systemic failures in supervision, stock control, verification mechanisms, and timely remittance of collections,” the Court remarked.

Travancore Devaswom Board (TDB) intimated the Bench that officer concerned has been placed under suspension and that further action would be initiated against him. It was also told that guidelines have been issued to prevent recurrence.

However, the Court referred to previous instances where it had flagged similar misappropriation, including the embezzlement of Rs. 40 lakhs in the petrol pump.

“It is inconceivable that siphoning of such magnitude could have been carried out without the knowledge, acquiescence, or at least wilful blindness of persons occupying positions at the higher rungs of the administrative hierarchy… It appears to us that certain employees of the Travancore Devaswom Board are more interested in siphoning off amounts rather than conscientiously rendering the service entrusted to them. The conduct disclosed gives rise to a disturbing inference that the predominant objective of such employees is personal gain, by one means or another, rather than the faithful discharge of their duties to the institution and the devotees,” the Court added.

The court thus directed the team to file a report within one month indicating the progress of the investigation while the Court made it clear that the team is answerable only to it.

The Court also observed that prior approval under the Prevention of Corruption Act is not required in the present case.

Case No: SSCR No. 3 of 2026

Case Title: Suo Motu v. State of Kerala

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