In a brief ceremony at the Raj Bhavan, Kerala Governor P Sathasivam administered the oath of office and secrecy to Saseendran.
The Chief minister and his cabinet colleagues were present at the function, which was boycotted by the Opposition Congress-led UDF.
Saseendran had resigned as Transport minister in March last year after a Malayalam TV channel released an audio clipping of his purported conversation with a woman.
The chief judicial magistrate's court here had last week acquitted Saseendran of the charges holding that no case had been made out against him that warranted conviction.
Challenging Saseendran's acquittal, a petitioner has approached the Kerala High Court stating that the woman complainant had been pressured for settlement in the case.
Her plea before the CJM court had been dismissed earlier.
The government had appointed the Justice P S Antony commission to probe the allegations, but it could not ascertain the authenticity of the audio clip.
The Nationalist Congress Party state leadership had then taken a decision that whoever comes clean of the charges against them first would become the minister again.
The CEO of the TV channel and four journalists were arrested in connection with the 'sleaze audio' and are now out on bail.
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