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On January 28, 1997, Palani Baba was hacked to death by six persons, five of whom were later sentenced to life imprisonment. The motive was not political but by personal grudge between a group and Palani Baba. The murder resulted in riots in Coimbatore district, Tamil Nadu.
He was buried near New Ayakudi in Palani Taluk. His cemetery is located just opposite to the ITO school, in New Ayakudi village.
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