According to investigative findings presented to the court, the TDB initially initiated an e-tender process in which Kumkuma Raj Dairy of Tamil Nadu submitted the lowest competitive bid at ₹369 per liter. However, the board bypassed the tender and awarded the supply contract to state-owned dairy cooperative Milma at a significantly higher rate of ₹510 per liter, following a recommendation by the late Executive Officer Murari Babu. Babu claimed that Milma’s superior quality allowed the preparation of temple aravana using only seven liters of ghee instead of the usual ten. Investigators found no material evidence supporting this quality claim, concluding that choosing the lower bidder could have saved the TDB approximately ₹2.27 crore.

The court highlighted additional supply chain and quality assurance discrepancies. Although the TDB placed its supply order with Milma’s Pathanamthitta depot in July 2025, records reveal that Milma subsequently sourced 24,970 kg of ghee from Sonai Cooperative Dairy in Pune, Maharashtra, at ₹497 per liter. Furthermore, official records failed to show whether mandatory food safety checks or chemical quality verifications were conducted when the ghee arrived at the Sannidhanam.

Addressing the bench, legal counsel for the Travancore Devaswom Board stated that the board had independently ordered an inquiry on August 1 to ascertain whether Milma breached contractual terms, complied with food safety regulations, or caused financial harm to the institution. The state government has also indicated that broader administrative reviews are underway to identify any personnel involved in bypassing statutory procurement rules.