Bhoota Figures are taken or based on from the purathana kala (olden traditions) or it is on the religious beliefs (dharmika nambike) that led the people of the villages. It is a traditional art that is transferred only from the forefathers to the next generation, seen in the Basrur region of Udupi in Karnataka.
Generally these figures are made in the month from January to July that are sold more in temples of Kundapura taluk, South Canara, (Dakshina Kannada) and the Udupi district. The worship of these types of idols are usually seen in the Tulu nadu regions of Karnataka. Bhoota’s are referred as ethereal spirits or demi gods that protect the people of the village from evil. It is a prehistoric ritual form of worship that exists within the Tulu speaking community of people.
For more details: http://www.dsource.in/resource/wooden-bhoota-figures---udupi-karnataka