The Kerala High Court on Friday came down heavily on the Travancore Devaswom Board (TDB) for its “persistent and shocking failure” to maintain proper financial records, observing that the continued use of outdated manual accounting had made the system vulnerable to misuse. The Division Bench of Justice Raja Vijayaraghavan V and Justice K.V. Jayakumar, while hearing an audit report concerning pension benefits to a retired Devaswom officer, noted that financial audits dating back more than ten years were still incomplete - an “unacceptable state of affairs in this age of digitisation.”
Background
The case stems from an audit objection relating to the pension of B. Padmanabhanunni, a retired Deputy Devaswom Commissioner. During the 2014–15 audit, vouchers worth over ₹21 lakh were found missing. Though some were later traced, the remaining records continued to be unaccounted for.
The Ombudsman had suggested that pending verification, the retirement benefits could be released on the basis of a bond executed by the officer. However, the issue exposed far deeper administrative lapses.
The audit report also revealed large-scale irregularities across 150 institutions under the Board, including missing vouchers, incomplete records, and financial transactions without verification. The Court expressed alarm that “even after a lapse of ten years, the audit process remains incomplete.”
Court’s Observations
The Bench did not mince words while describing the state of affairs. “The continued reliance on archaic manual record-keeping, absence of digitised accounting systems, and failure to conduct timely audits reveal a pattern of gross administrative indifference,” the judges remarked.
Referring to earlier findings from another audit concerning a petrol pump at Nilakkal where ₹40 lakh had gone unaccounted the Court said these lapses indicated a “deep-rooted systemic malaise” and a near-complete collapse of financial accountability.
“The divine assets of the temples cannot be left vulnerable to outdated ledgers and missing records,” the Bench cautioned, adding that this lack of transparency had turned the Board into a “passive enabler” of financial misconduct.
The judges also recalled the statutory duties laid out under Sections 32, 102, and 103 of the Travancore-Cochin Hindu Religious Institutions Act, 1950, which mandate yearly audits and the maintenance of proper accounts. The Court observed that the Board’s repeated failure to comply with these legal duties amounted to a serious breach of trust, both statutory and moral.
Decision
In a stern direction, the High Court ordered the Travancore Devaswom Board to move towards a fully digitised financial management system without further delay.
“All receipts, bills, and vouchers must be entered in real time into a centralised financial management system accessible to both audit and supervisory authorities,” the Bench said.
The Court directed the Director of the Kerala State Audit Department and the Deputy Devaswom Commissioner in charge of computerisation to appear before it on October 30, 2025, with a detailed action plan for implementing digital accounting, online reconciliation, and timely audit completion.
The order concluded with a warning that only a comprehensive digital reform could restore public faith and the sanctity of temple finances.
Case Title: Joint Director, Kerala State Audit Department vs. Travancore Devaswom Board
Case Number: DBAR No. 2 of 2018
Date of Order: October 17, 2025