New Delhi : Supreme Court intervenes with relief to Kerala in the borrowing limit case. Supreme Court directs Center to allow Kerala to borrow Rs 13,608 crore without conditions The court also directed the Center and Kerala to discuss the demand for permission to borrow an additional 21,000 crores. It is proposed to hold a secretary-level discussion on Wednesday evening.
The Center had earlier clarified in the Supreme Court that Kerala has the authority to borrow another Rs 13,608 crore this financial year. But the Center had put forward a condition that Kerala should withdraw the case filed in the Supreme Court. The Supreme Court criticized this stand of the Centre. The Supreme Court has clarified that Kerala has the right to file a suit petition against the Centre. The Supreme Court observed that it was not correct to deny that power.
The Supreme Court has directed that the political leaders of the Center and Kerala should not make controversial statements while conducting discussions. Senior advocate Kapil Sibal, appearing for the state government, pointed out that everyone makes statements. But the Additional Solicitor General pointed out in the court that no statement is made at the Centre.
Attorney General R Venkita Ramani and Additional Solicitor General N Venkita Raman appeared for the central government. For Kerala, Senior Advocate Kapil Sibal, Advocate General K Gopala Krishna Kurup, Standing Consul CK Shashi, Senior Government Pleader V. Manu appeared in the Supreme Court.
