Kerala High Court Mandates Digitised Accounting for Travancore Devaswom Board to Curb Financial Mismanagement

Court Orders Systemic Overhaul to Address Corruption and Financial Irregularities in Temple Funds Management

The Kerala High Court, in a significant ruling, has directed the Travancore Devaswom Board to immediately transition to a fully digitised accounting system to address persistent financial mismanagement and misappropriation of temple funds. The judgment was delivered by a division bench comprising Mr. Raja Vijayaraghavan V and Mr. K.V. Jayakumar, in response to findings of financial irregularities and systemic weaknesses within the Board's administration.

The case stemmed from audit objections raised against the Travancore Devaswom Board, highlighting the absence of modern accounting systems and the reliance on outdated manual record-keeping. The audit, which remains incomplete even a decade later, revealed missing vouchers and unauthorised payment authorisations, indicating gross administrative indifference and financial malpractice.

The court noted that the Board's failure to adopt contemporary digital accounting systems has led to a lack of transparency and accountability, enabling misappropriation of temple funds. The judgment emphasized that the statutory obligations under the Travancore-Cochin Hindu Religious Institutions Act, 1950, particularly Sections 32, 102, and 103, are critical to maintaining trust and integrity in the Board's financial operations.

In its order, the court mandated the immediate implementation of a digitised, end-to-end accounting framework to ensure real-time data entry, centralised financial management, and seamless audits. The court underscored the need for automated reconciliation and alerts for discrepancies to prevent future financial irregularities.

The court has scheduled a follow-up on October 30, 2025, requiring the Director of the Kerala State Audit Department and the Deputy Devaswom Commissioner in charge of computerisation to present a detailed action plan. This plan is expected to outline the transition to modern scientific accounting practices, aiming to preserve the sanctity of temple finances and restore public confidence in the administration of Devaswom institutions.

Bottom Line:

Travancore Devaswom Board's failure to maintain proper accounts and reliance on outdated manual record-keeping has led to financial mismanagement and misappropriation of temple funds - Immediate transition to digitised accounting systems is essential to ensure transparency and accountability.

Statutory provision(s): Travancore-Cochin Hindu Religious Institutions Act, 1950 Sections 32, 102, 103

Joint Director, Kerala State Audit, Thiruvananthapuram v. Secretary, Travancore Devaswom Board, Thiruvananthapuram, (Kerala)(DB) : Law Finder Doc Id # 2796455