NEW DELHI: The Centre and the Kerala government on Monday told the Supreme Court that the dialogue and possible settlement between both the parties in connection with their dispute over financial allocation to the state had failed despite their best efforts.The submissions were made before the apex court bench by Additional Solicitor General (ASG) N Venkataraman for the Centre and senior lawyer Kapil Sibal for Kerala.The Supreme Court has agreed to hear the case at length on March 6 and 7.The two-judge bench of the top court, headed by Justice Surya Kant and also comprising Justice K V Viswanathan, was hearing the Kerala government’s prayer for interim relief application alleging that the Centre illegally interfered in the state’s finances and budgeting.Following the suggestion on February 13 of the apex court, which had directed the Centre and Kerala government to sit and talk to resolve the issue over the cap on net borrowing, both the parties had tried for a settlement.Attorney General (AG) R Venkataramani, the top law officer of the central government, had, in the last hearing on February 13, told the Supreme Court that it was ready to discuss the dispute with the Kerala government.Senior lawyer Kapil Sibal, appearing for the Kerala government, had told the apex court that the state has also agreed to send a delegation to Delhi to conduct a dialogue with representatives of the central government.
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