Department sources said K M Aliyar, District Project Officer of Sarva Sikshha Abhiyan (SSA), was suspended for issuing the circular, which triggered a row with some teachers unions alleging political motive behind it as green is the colour of the flag of Indian Union Muslim League, whose nominee holds the Education portfolio.
The circular had directed teachers to wear green blouses while attending the inaugural of a function connected with the SSA project at Ernakulam, the sources said.
The office of the Education Minister P K Abdu Rabb, however, made it clear that the department had no connection with the circular.
The Minister also directed the Secretary, General Education, to take action against the official and hold an inquiry into the controversy. The function, scheduled for today, was cancelled.
A spokesperson for Rabb said "this order appears to be a deliberate attempt to tarnish the image of the Minister and the department."