According to legends and mythologies, Sri Varahamurthi (also called as wild boar or in malayalam, Panni, and hence the place is called Panniyur, the land of wild boar) temple at a scenic village called Panniyur in Palakkad District (17 km west of Pattambi on the banks of Bharathapuzha in Ottapalam Taluk) was consecrated by non other than the Lord Parasurama, more than 4000 years ago to subdue the unnatural growth of the land (Kerala) which he got from the ocean. Since that time this temple was the proud legacy of the people of Keralites, their foremost temple.
Beginning from the period of Brahmin's rule in Kerala (BC 800) untill the fall of Perumals Kingdom (AD 600), for a period of 1200 years, Sri Varahamurthi, the principal diety of Panniyur temple, had been worshipped as the Kerala Devan.
Etchings on a granite stone, recently unearthed from the temple premises revealed that over 1200 years ago a cultural society known as "Panniyoor aayiram" had existed here and did yeomen service for the upliftment of the culture of the people of this place. The inscription also shed light on to the existence of the temple here that fulfills the emotional and ethical aspirations of the then people of kerala far and near.
However, about 7 or 8 centuries back this great temple fell into ruins, as a result of the fractional fights between the two communites, namely the cheras and the cholas. Added to these feuds, the Rajah of Zamorin and the Cochin Raja had made frequent invasions into each other's territory and as a result the day to day worship in this temple, which was under the aegis of Zamorin, suffered. Playing loyalties of the people in the Panniyur village and the adjoining village called Sukapuram also brought the ruin of this great temple. Whatever the reasons were for the downfall of Panniyur civilization, coming as a sequel to the desecration of this temple, the fact remains that the temple as well as the aura of culture generated by it was swept away leaving a spectre of ruin.
Recapitulating the etchings on a copper plate in round scripts (vattezhuthu) made by the then living scholar Sri Appath Ateri, when translated into Malayalam, was found to contain prognostications concerning this temple and had foreseen a glorious future for the ruined Varahamurthy temple and predicted its return to past glory and greatness which it had enjoyed earlier.
In 1983, an astrological investigation (Deva Prasnam) was conducted by eminent astrolegers and they foresaw that in a matter of 24 years the temple will be renovated fully and once again it reigns supreme. Sri Varahamurthy will start shedding his ebullience into the hearts of thousands of devotees who will then vist this temple. Signs of this predicted phenomena are already being palpable in the day to day increased flow of ardent devotees to this temple. They are confident of fulfilment of their cherished wishes and blossoming of hopes. The temple even in the present state of unrenovated glory witnesses increasing numbers of devotees to its edifice especially in the evening pooja. They are dreawn from far and near.
It would be only appropriate to remember that this temple is one where Vishnu appears in the form of a wild boar. In mythology the wild boar, third incarnation of Lord Vishnu, is responsible for hoisting bhumi devi from the ocean-bed, making Earth habitable. Adjacent to the walled enclosure of the Varahamurthy temple, on the Northern side, is built the Lord Shiva temple with its characteristic architecture, a little away in the south on a high elevation the temple of Lord Ayyappa is located. Lord Ganesha, Lord Subrahmanya, Lakshmi Narayana, Godess Durga are the other sub deities worshipped in this temple. Within the sprawling temple premises the presence of Sri Chitragupta and the Yakshi (Demon godess) are most intutively felt and is certainly and extraordinary feature. The ruins of great amphitheatre and an extensive arena are certainly indicative of the past glory of this temple. The historically famous Panniyur Thura (crater) is located on the northern elevation bordering it. The Matsya theertha which again was believed to have been built by Sri Parasurama, but now extinct, lay on the Southern side.
Following the demise of his beloved son, for which he held himself responsible, a mentally disturbed Perumthachan, the great carpenter, through the course of his wanderings had reached Panniyur. Weighed down by fatigue, hunger and thirst he had sought relief from the carpenters who had been then carrying out rejuvenation work at the temple. Having had failed to identify him as a master craftsman of their profession, the workers had quite conspicuously neglected him. Quite shocked and angry by such behaviour from their side, the Perumthachan had decided to teach them a lesson. He had moved inside the sanctum sanctorum where the carpenters had kept blocks of wood ready to be converted into columns. Then he made some marks on those wood blocks before resuming with his journey. When the workers had returned, they had quite unwarily sawn along the marks thinking that their leader might have drawn it while they went for having food. All the columns just fell short of their appropriate lengths. They suddenly realised that the man they neglected at lunch time had been the master carpenter Perumthachan himself. They decided to seek him the following day and beg for his forgiveness and went to sleep. They had been woken up in the middle of the night by the sound of hammering and chiselling from inside the sanctum sanctorum. They had rushed inside to find that the work was brilliantly finished with the columns which they find just short of length. Thrilled by this the workers sought his forgiveness. Perumthachan blessed them by saying "Panniyur temple will never ever be short of work for the members of our profession. Anyway, I will never touch my chisel and measuring rod ever again". He dropped down his chisel and rod, which were carefully preserved by his followers at the temple.