The fierce Bhairavas of Tantrik Hinduism seem to engage in it, using blood and certain other parts ceremonially.
http://www.hinduonnet.com/thehindu/seta/2003/04/24/stories/2003042400030200.htm
BOMBAY, India -- A new Indian documentary focuses on a secretive sect of Hindu ascetics who eat corpses in the belief that ingesting dead flesh will make them ageless and give them supernatural powers.
"Feeding on the Dead," a 10-minute documentary, delves into the little-known world of the Aghori sect, whose holymen pluck dead bodies from the Ganges River in northern India.
While the sect has been written about, they've rarely been filmed performing rituals.
The director of the documentary said it took him more than three months to gain the trust of an Aghori and persuade him to be filmed while performing a cannibalistic ritual.
Hindus generally cremate the dead, but bodies are sometimes ceremonially disposed of in the Ganges, and the Aghori find the corpses they need in the river.
http://www.informationliberation.com/?id=2709
The priests caught in 4.2006 followed an ancient Hindu cult which once permitted cannibalism and the use of human corpses in various rituals. It was first banned in the 18th century when India was a British colony.
Two Hindu priests have been arrested on charges of eating vital organs from the corpse of a child in the belief they would gain supernatural powers, Indian police said today.
“Our investigations revealed the pair exhumed the body on Friday and after lopping off its head they devoured its heart, liver and other soft organs, thinking the act would give them with immense powers,” Jaunpur police chief Abhay Kumar Prasad said.
“We have also found the half-eaten headless corpse after interrogating these two men,” Mr Prasad said.
Villagers alerted police yesterday after finding the head of an 18-month-old infant they had buried three days previously.
Brijvasi Mishra, aged 53, and his student Vishal Misra, 23, were caught in northern Uttar Pradesh state’s Jaunpur district.
http://www.religionnewsblog.com/14276/hindu-priests-arrested-for-cannibalism