Finance Minister K. N. Balagopal on Monday described as “positive” the Supreme Court decision to refer the State government’s suit on its borrowing limit to the Constitution Bench.
Mr. Balagopal, reacting to the Court decision, portrayed the Court decision as a vindication of the State’s stand. “The important point here is that the Court has held that the suit filed by Kerala is serious enough to be examined by the Constitutional Bench,” Mr. Balagopal said, speaking to reporters in Kollam.
The Court decision is an important event in Centre-State relations, especially in matters pertaining to federalism and finances, Mr. Balagopal said. It shows that there is indeed substance in the arguments made by the State government regarding federalism and fiscal matters.
