In the Supreme Court, the central government said that all the figures given by Kerala regarding the borrowing limit are wrong. The central government told the court that Kerala is a state with more expenditure than income. The central government also accused Kerala of misinterpreting the CIG report on fiscal discipline. The state government also contends that the borrowing limit was set by the Finance Commission and nothing more was asked for.
Today, the Supreme Court heard the hearing on the borrowing limit issue in a manner that lasted for a day. However, both the sides have not completed their arguments till date. Based on this, the court adjourned the hearing of the case to 1 pm tomorrow. Additional Solicitor General N Venkataraman appeared for the Center and senior advocate Kapil Sibal appeared for Kerala.
