Temple funds cannot be used by government as money belongs to deity rules, Madras High Court

The Madurai bench of the Madras High Court has struck down a government order that allowed temple funds to be used for building marriage halls, ruling that such money cannot be treated as public or government funds.

A division bench comprising Justice S M Subramaniam and Justice G Arul Murugan observed that donations and properties offered to temples belong to the deity, who is regarded as the owner. The judges underlined that temples are not business entities, and their resources can only be spent in ways permitted under the Hindu Religious and Charitable Endowments (HR&CE) Act.

While the Act gives the government supervisory powers over Hindu religious institutions, the court stressed that the state is duty-bound to ensure temple funds are used strictly for religious purposes envisioned by donors and devotees. The bench said these contributions must be directed towards temple festivals, maintenance, or construction of the temple itself, and not diverted for unrelated activities.

"Any such move by the government to misuse funds belonging to the temple by virtue of an expanded interpretation is unacceptable and would amount to encroachment on the fundamental right of the Hindus to practice their religion of their choice," the judges stated.

The ruling came after HR&CE Minister P K Sekar Babu told the Assembly that marriage halls were planned in 27 temples at a cost of Rs 80 crore. Taking note of this, the court set aside the government order and made it clear that temple funds cannot be diverted in this manner.