Ram Temple donation row hits Ayodhya businesses, footfall drops 80%
Synopsis
Ayodhya's temple economy is reeling: daily pilgrim footfall has plunged from up to six lakh to under one lakh following the Ram Temple donation misappropriation row. With over ₹49 lakh recovered from three accused and the Trust's top leadership out, the scandal is testing the holy city's reputation as a pilgrimage destination at the worst possible time.
Key Takeaways
Daily devotee footfall at Ayodhya's Ram Temple has dropped from 5–6 lakh to 50,000–1 lakh amid the donation misappropriation controversy.
Local vendors confirm a sharp decline in out-of-state pilgrims, with crowds now mostly drawn from nearby areas.
Champat Rai and Anil Mishra have resigned from the Shri Ram Janmbhoomi Teerth Kshetra Trust ; opinions among vendors on their culpability are divided.
Ayodhya police have moved court seeking custody of three accused — Lavkush Mishra , Anukalp Mishra , and Karunesh Pandey .
Cash totalling over ₹49 lakh has been recovered from the three accused; investigators are tracing linked bank accounts.
The controversy surrounding alleged misappropriation of donations at the Ram Temple in Ayodhya has dealt a severe blow to the holy city's local economy, with vendors reporting that the number of visiting devotees has dropped by as much as 80% since the scandal broke. Traders on Wednesday, 8 July said the fallout has been swift and damaging.
Scale of the Footfall Decline
A local shopkeeper said that five to six lakh devotees used to offer prayers daily at Hanumangarhi and the Ram Temple combined. 'Now the number of devotees is between 50,000 to one lakh,' he said, adding that the sharp fall has directly hit the livelihoods of vendors in the temple town.
Another trader, Prakash Gupta, confirmed the trend: 'Less number of people from other states are visiting the city. Majorly, it is the local public who make up the crowd, who live in nearby areas.' A third vendor noted that pilgrims are now wary of visiting even guesthouses, fearing theft — a sign that the reputational damage extends beyond the temple itself.
Divided Opinions on Trust Leadership
Vendors are split on the question of accountability at the Shri Ram Janmbhoomi Teerth Kshetra Trust. One shopkeeper defended former General Secretary Champat Rai, saying he 'didn't have any role in all of this.' Gupta, however, welcomed the acceptance of the resignations of both Champat Rai and Anil Mishra, expressing hope that 'the new team will properly carry out its responsibilities.'
Police Seek Custody of Three Accused
Ayodhya police have moved court seeking custody of three accused individuals from whom substantial cash amounts were recovered as part of the ongoing investigation into the Ram Temple donation theft case. According to police, the custody is sought to examine bank accounts and trace the financial trail linked to the recovered money.
Investigators reportedly suspect that a portion of the allegedly stolen funds may have been used to purchase various goods. Officials said details regarding the alleged 'proceeds of crime' can be established only after scrutinising the accused's bank records.
Cash Recovered from Accused
Police said ₹14,25,000 was recovered from accused Lavkush Mishra, while ₹16,82,046 was seized from Anukalp Mishra. A further ₹18,07,063 was recovered from Karunesh Pandey, bringing the total cash recovered across the three accused to over ₹49 lakh.
What Happens Next
The investigation is ongoing, with the court expected to rule on the police custody application. The Trust's reconstituted leadership will face immediate pressure to restore pilgrim confidence — a task that vendors say is critical to the revival of Ayodhya's temple economy. Whether the new team can rebuild trust swiftly enough to reverse the footfall slump before the peak pilgrimage season remains to be seen.
Point of View
However it is ultimately adjudicated, strikes at precisely that premise. The resignations of Champat Rai and Anil Mishra may satisfy procedural accountability, but restoring pilgrim confidence is a different challenge — one that no leadership reshuffle alone can fix. The investigation's focus on bank records and 'proceeds of crime' suggests investigators believe the financial trail runs deeper than what has been recovered so far.
NationPress
8 Jul 2026
Frequently Asked Questions
What is the Ram Temple donation embezzlement row in Ayodhya?
The row refers to allegations of misappropriation of donations collected at the Ram Temple in Ayodhya. The controversy led to the resignations of Shri Ram Janmbhoomi Teerth Kshetra Trust's former General Secretary Champat Rai and another senior official, Anil Mishra, and triggered a police investigation into donation theft.
How much has footfall at Ayodhya's Ram Temple dropped?
According to local vendors, daily footfall has fallen from 5–6 lakh devotees to between 50,000 and 1 lakh — a drop of roughly 80%. Traders say out-of-state pilgrims have largely stopped visiting, with crowds now composed mainly of people from nearby areas.
Who are the accused in the Ram Temple donation theft case?
Police have named three accused — Lavkush Mishra, Anukalp Mishra, and Karunesh Pandey — from whom a combined total of over ₹49 lakh in cash has been recovered. Ayodhya police have moved court seeking their custody to examine bank accounts and trace the full financial trail.
Why did Champat Rai and Anil Mishra resign from the Ram Temple Trust?
Their resignations were accepted in the wake of the donation misappropriation controversy. While some vendors have defended Champat Rai, saying he had no role in the alleged theft, others have welcomed the leadership change, expressing hope that a new team will manage the Trust more transparently.
What impact has the row had on Ayodhya's local economy?
Local vendors report a severe decline in business directly tied to the fall in pilgrim numbers. With fewer out-of-state visitors, shops, guesthouses, and other businesses dependent on pilgrimage traffic have all been affected. Traders say the reputational damage has made pilgrims wary of visiting even accommodation facilities in the city.
