Relief for TDB in Long-Running Aravana Compensation Battle
In a significant relief to the Travancore Devaswom Board (TDB), the Supreme Court has stayed a Kerala High Court order that directed the board to pay ₹239 crore in compensation to Panchami Pax, a former contractor for the production of Aravana at the Sabarimala temple.
According to an official statement issued by the board on Sunday, the stay was granted in response to TDB’s appeal challenging the High Court’s directive. Panchami Pax, which held the Aravana production contract between 1999 and 2007, had sought compensation for losses it claimed to have incurred following the termination of the agreement.
The interim stay was issued by a Supreme Court Bench comprising Justices Sanjay Kumar and S.C. Sharma.
Initially, after the contract expired in 2007, Panchami Pax approached the MSME Tribunal, seeking ₹8 crore in damages. The tribunal ruled in favour of the company. However, the TDB appealed the decision in the Thiruvananthapuram District Court, which overturned the tribunal’s verdict and ruled in favour of the board.
Panchami Pax subsequently approached the Kerala High Court, which reinstated the company’s claim and ordered the TDB to pay ₹239 crore, including interest. That order has now been stayed by the apex court, pending further proceedings.