The Cochin Devaswom Board (CDB) has constituted a team led by the Assistant Commissioner (Estate) to probe the financial transactions of Thiruvambady Devaswom in the wake of complaints and Devawom vigilance report on fund mismanagement and liabilities running into crores. According to the proceedings issued by the C Anil Kumar, Devaswom Commissioner, the team will scrutinise the income and expenditure statements, all transactions and submit a report within a month. It has also rejected the request of Thiruvambady Devaswom to sell off assets to clear dues worth crores.

The Assistant Commissioner (Estate), CDB had conducted an inquiry into the accounts of Thiruvambady Devaswom and a report was submitted in January. An HC order on March 3, which was issued considering a bunch of petitions, cited that the total liability of Thiruvambadi Devaswom comes to Rs.73.96 crore as per the report of the Assistant Commissioner.

 The report also cited that the Managing Committee of Thiruvambadi Devaswom collected deposits from various persons against pronotes and functioned like a non-banking financial institution, which is legally impermissible. The HC gave ten days time for Thiruvambady Devaswom to file an affidavit explaining the facts and circumstances, with specific reference to the facts noted in the report of the Assistant Commissioner (Estate).

In March 2024, the HC had directed the CDB to hear the petitioners in the case and take a decision. Thiruvambady Devaswom Secretary submitted before the CDB that there was no way other than selling off assets to resolve the financial crisis and that selling of assets was needed to repay loans taken from the devotees and the loan availed from the South Indian Bank. "If the loan is not settled, the bank will proceed with legal measures which will result in a situation where high-value assets of the Devaswom will be auctioned at cheap rates. This will cause extreme loss and shame to Thiruvambady Devaswom," according to the Secretary's statement furnished in the proceedings.

Thiruvambady Devaswom had approached the CDB asking permission to sell three properties to settle debts. When the CDB sought clarity on the matter, Thiruvambady Devaswom informed that it owed South Indian Bank an amount of Rs 25 crore and it had collected Rs 30 crore from devotees and other individuals as deposit for construction works. In order to settle these debts, it was necessary to sell off assets and give away properties for commercial purpose on long-term lease agreement.

In 2023, CDB received complaints from C Gopinathan and V A Narayana Menon seeking a probe into alleged financial irregularities by Thiruvambady Devaswom. They have also filed a petition in the High Court. During the hearing, they told the CDB that the liability of Thiruvambady Devaswom increased from Rs 3 crore in 2004-05 to Rs 67 crore in 2022-23. They also demanded that there should be a probe to find out details of loans based on promissory notes availed by Thiruvambady Devaswom managing committee between 2004 and 2024. They quoted audit reports to cite that an amount of Rs 137 crore was paid as interest for the loan.

A report by CDB vigilance cited that while consent was earlier given to sell the assets, it was not to settle debts but to ensure financial prosperity. "CDB did not grant permission to Thiruvambady Devaswom to take loan from South Indian Bank. It is not a proper decision to sell assets to clear dues," the CDB vigilance report pointed out. The findings have been produced in the proceedings issued by the Devaswom Commissioner.