NEW DELHI: With the Center announcing that it will not grant permission to borrow another 19,370 crores to overcome the financial crisis, Kerala will once again seek refuge in the Supreme Court. In the discussion held in Delhi yesterday, the Center refused permission for additional loans.

As per the notification by the Central Government to the Supreme Court the other day, loan approval will be given for Rs 13,608 crore. However, the state will not sanction the additional amount requested. The discussion was in compliance with the court order. Central Finance Secretary T.V. Somanathan agreed with this and asked for the amount that Kerala should get, but Chief Secretary Dr V Venu disagreed.

In addition to the Chief Secretary, Chief Principal Secretary to the Chief Minister Dr K.M. Abraham, Principal Secretary of the Finance Department Rabindra Kumar Aggarwal and Finance Resources AS&OSD Mir Muhammad Ali also participated on behalf of the state government. On behalf of the central government, Finance Secretary T.V. Somanathan, Additional Secretary Sajjan Singh Yadav, and Additional Solicitor General N. Venkata Raman attended the meeting.

Senior advocate Kapil Sibal from Kerala will inform the Supreme Court on Monday about the failure of the official-level discussion. A bench comprising Justices Suryakant and K.V. Viswanathan is considering the case. With only three weeks left in the financial year, it will be argued that urgent action is imperative. Earlier, the Center had set a condition that the petition in the Supreme Court should be withdrawn if the loan sanction of Rs 13,608 crore is to be granted. This condition was rejected by the court. During the discussion on the additional amount, it was clarified that any condition can be imposed within the limits of the Constitution except the withdrawal of the case.