Leader of CPI in the Kerala assembly C. Divakaran was Sunday left out of the national executive, the highest decision-making body of the party.
National secretary S. Sudhakara Reddy made the announcement in Delhi after a series of party meetings that ended Sunday.
"He had sent his resignation and it was accepted," Reddy told reporters.
When the media in the state capital called on Divakaran to know his reaction, the leader said he has nothing to say.
Divakaran was taken to task for the faulty selection of a medical professional and a non-fulltime party member Bennet Abraham as the party candidate from Thiruvananthapuram for the 2014 Lok Sabha election.
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When the results came, Abraham came third, the first time the party had fared so badly.
Divakaran's ouster from the national executive was on the cards ever since he and another senior leader were last month demoted to a lower committee in the state following uproar in the party over Abraham's selection.
Incidentally, during the V.S. Achuthanandan-led government (2006-11), Divakaran was number two in the cabinet and the food and civil supplies minister.
The state council of the CPI last month had admitted that the selection of Abraham was wrong but denied widespread media reports that it was a "payment seat" and hence several frontline leaders were ignored.
"Payment seat" means a candidate gets the seat in lieu of money.