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Several decades after formation of the movement, Swami Dayananda (1824–1883) questioned the acceptance of Swaminarayan as the Supreme Being and disapproving towards the idea that visions of Swaminarayan could form a path to attaining perfection. Swaminarayan was criticized because he received large gifts from his followers and dressed and traveled as a Maharaja even though he had taken the vows of renunciation of the world. Accused of deviating from the Vedas, his followers were criticized for the illegal collection of wealth and the "practice of frauds and tricks." In the views of Swami Dayananda, it was a "historical fact" that Swaminarayan decorated himself as Narayana in order to gain followers.

Similar issues with caste by Swaminarayan has been recorded. He would eat along with the Rajput and Khati castes but not any lower. He established separate places of worship for the lower population where they were considerable. In the Shikshapatri, he wrote do not take food or water from a person of a lower caste. Members of a lower caste are prohibited from wearing a full sect mark (tilak chandlo) on their forehead.

Despite the reforms for women within the sect, according to Professor David Hardiman, "Swaminarayan's actions have propagated a vicious form of patriarchy that subjugate women." After traveling throughout India, he was reported to vomit even if approached by even the shadow of a women." Practices set forth by him seem to restrict women and make gender equality in leadership impossible. No women are trustees of the religion nor do they serve on any managing committees of the major temples. Thus all the wealth and institutions are effective under the control of men. He also directed male devotees not to listen to religious discourses given by women. Swaminarayan restricted widows "to live always under the control of male members of their family and prohibited them from receiving instruction in any science from any man excepting their nearest relations." Concepts of pollution associated with the menstrual cycle lead to the exclusion of women from the temples and daily worship.

Several decades after formation of the movement, Swami Dayananda (1824–1883) questioned the acceptance of Swaminarayan as the Supreme Being and was disapproving towards the idea that visions of Swaminarayan could form a path to attaining perfection. Accused of deviating from the Vedas, his followers were criticised for the illegal collection of wealth and the "practice of frauds and tricks." In the views of Swami Dayananda, published as early as 1875, it was a "historical fact" that Swaminarayan decorated himself as Narayana in order to gain followers.