Sree Vayilyamkunnilappan Temple is intricately linked to the Parayipetta Pantherukulam, a tale stemming from the twelve tribes born of Parayi, an untouchable woman. The story unfolds as Vararuchi, the court poet in the court of Vikramaditya of Ujjaini, embarks on a journey across the mainland in search of an answer to a question posed by the King about the Ramayana. Along his quest, he not only finds the answer but also learns of his destiny to marry a Parayi, an untouchable woman. He persuades the King to set afloat a baby girl on a plantain trunk with a kuthuvilakku (hand-lamp) affixed to it. Fate, however, intervenes,
more and Vararuchi later encounters and marries the woman, deeply impressed by her intelligence. Subsequently, Vararuchi and his wife undertake another journey across the land. Whenever the woman gives birth to a child, Vararuchi inquires if the baby has a mouth. If the answer is affirmative, he explains that God has granted the child a mouth, and God will provide for its nourishment. To circumvent this pattern, the woman deceives Vararuchi by claiming that their twelfth child lacks a mouth. This falsehood permits her to keep the child. However, she soon discovers that the baby has mysteriously lost its mouth and is compelled to leave the child on a hill where they had rested. As the parents move on, the abandoned baby undergoes a transformation, becoming an idol with the divine intention of 'Ardhdha nareeswara.