But it's still not a major twist because both Dinakaran and his discredited aunt VK Sasikala are holding on to the top two posts in the party.
Opening the doors for a possible merger of the two AIADMK factions, the Palaniswami-led Amma faction had earlier in the day challenged the authority of Dhinakaran, a move hailed by the rebel camp as an "awakening". "Due to an extraordinary situation, she is not able to discharge her duties".
The ruling AIADMK dismissed its Deputy General Secretary TTV Dinakaran on Thursday.
In his prayer, the OPS faction leader V Maitreyan said the resolution was a clear admission of the illegality of the purported appointments of Sasikala as general secretary and Dhinakaran as deputy general secretary. With this, the onus will be on the poll panel to ascertain whether she would remain the General Secretary of the united AIADMK.
Removing Sasikala and her family members from the party, and ordering a probe into Jayalalithaa's death were the two key demands raised by the "OPS group", which broke away to form a separate outfit, AIADMK (Puratchi Thalaivi Amma), in February. However, Palaniswami said that his meeting with the Prime Minister was for a different reason.
His remark came after the leader of the Puratchi Thalaivi Amma faction led by O. Panneerselvam said it had had not heard from the former on the merger talks.
While the resolution sacks Dinakaran from the party and all posts, there is no mention of Sasikala Natarajan. That would mean Palanisami manages the government while the party is controlled by OPS.
Ministers Dindigul C Sreenivasan and K A Sengottaiyan were among those who did not sign the resolution.
"The apt word for Dinakaran is "420", Palanisamy told media here. Although nobody knows the depth of their resources, it may be easily surmised that they are in it for the long haul because they don't have another choice. This is not a stable government.
Rules stipulate a gap of six months between moving no-confidence motions in the assembly. "They will not be binding on any of the cadre", the faction said. Probably, the BJP wouldn't mind the government falling and going to fresh elections although the risks are very high because the present government is highly unpopular. But 37 support Dinakaran.