Kochi | The Kerala High Court on Wednesday said that there were "systemic irregularities" and "deep-rooted deficiencies" in the existing accounting and administrative framework of the TDB and ordered a slew of corrective measures, including implementing a fully centralised computerised system.

A bench of justices Raja Vijayaraghavan and K V Jayakumar was of the view that if not corrected the deficiencies will have far-reaching consequences on financial governance, statutory compliance, and overall transparency in the functioning of the Travancore Devaswom Board (TDB).

It arrived at the finding after perusing an auditor's report regarding the existing accounting system, financial reporting practices and the internal control mechanisms of the Board.

The report was submitted before the bench as directed by it on March 5 in a petition initiated by the court on its own with regard to the audited accounts of the expenditure incurred in organising the Global Ayyappa Conclave last year by the TDB.

The bench said that the latest report by the auditor about the TDB's accounting and administration system "brings to light systemic deficiencies and structural gaps which have a direct bearing on financial discipline, transparency, and accountability in the functioning of the Board".

"The omissions and deficiencies pointed out by the auditor are neither isolated nor trivial in nature. They reflect recurring issues in financial management which, if left unaddressed, have the potential to undermine institutional integrity," the court added.

The bench said it was of the view that immediate and comprehensive corrective measures are imperative and that it was essential that a fully centralised computerised system be implemented to manage both administrative and accounting functions.

Prior to such implementation, the Board was directed to prepare a structured and comprehensive data migration plan.

The plan shall include standardisation of data formats, ensuring system compatibility and transition, carrying out phased implementation, and conducting adequate capacity-building and training programmes, the bench said.

Besides these, the court also directed that the centralised system shall incorporate robust internal control and audit mechanisms, preserve or back-up all historical data for future reference or facilitate audit and verification processes.

The bench said that the directions were being issued to ensure that the deficiencies identified are addressed in a time-bound and effective manner, and that a modern, transparent, and accountable system of financial management is put in place.

The court on March 5 said that the audited records of the TDB indicate that the financial discipline of the Board "leaves much to be desired".