The Supreme Court on Friday agreed to consider Kerala’s plea for an early hearing by a five-judge constitution bench to determine the question whether the Centre can restrict the state’s borrowing capacity as according to it Article 293 does not empower the Union government to impose such restrictions.
Article 293 defines the borrowing power of the states throughout the country subject to certain restrictions that can be imposed by the Union government.
On Friday, during the morning mentioning time senior advocate Kapil Sibal urged a bench headed by Chief Justice of India D.Y. Chandrachud to form a bench in view of the reference made by a two-judge bench on April 1 as the issue involved substantial questions relating to the interpretation of the constitution vis-à-vis Article 293.
The bench, which included Justice J.B. Pardiwala and Justice Manoj Misra, has agreed to look into the request and take necessary action.