As usual controversies accompanied the annual Kerala state film awards 2002. It was almost certain that the letter sent by Sri Adoor Goplalkrishanan to the state film academy asking his 'NIZHALKUTHU' should only be considered for awards other than the awards for the best director and best film, or would create trouble for the minister of culture. Many had pointed out that it could create problem for the jury if they happen to consider the same letter. That's what exactly happened.

Mr. K G George as the chairman had declared that the jury had on the basis of the letter sent by Adoor did not consider his latest film 'NIZHALKUTHU' for the best film and best director categories. The awards for these categories were not given and the decision sent wrong message. If one thinks the jury in the absence of 'NIZHALKUTHU' decided not to give those two awards to anybody, the person could not be blamed. Because another statement of his regarding 'NANDANAM' is an indirect commendation for 'NIZHALKKUTHU'. George said that 'NANDANAM' is a reactionary film and it is an attempt to sell the dreams of a silly girl and the film does not deserve anything. It is okay with a chairman of the jury to comment on a film negatively. But he did not cite a similar reason for not giving award to 'NIZHALKKUTHU'. Instead he cited a letter from Adoor, which did not come under the purview of the jury. It was the letter written to the governing body of the Chalchitra academy. The function of the jury is to decide whether the films came before them deserved an award or not. A letter by an individual never counts a valid one among the regulations for considering the awards by the jury. Director Satyan Anthikad, Ranjith, Kamlal, Balachandra Menon, Vinayan and many other filmmakers had aired their view strongly.

The film fraternity is up against K G George who had chaired the functions of the jury. Sri George a well-accepted filmmaker of the 80's is at the receiving end this year. He, as the chairman of MACTA the association of Malayalam film technicians is once again facing severe criticism. Last year the annual general body meeting MACTA was filled with rebellious voices when a section of the filmmakers with Vinayan at the lead came up against George's panel of elections.