The Kerala government on Monday rejected opposition LDF charge that certain budget proposals had been leaked to the press before it was presented in the assembly and said media reports pertaining to government polices and schemes could not be construed as 'leakage.'

"The opposition charge is baseless and there has been no leakage. The reports connected with policies and schemes of the government cannot be construed as leakage of budget secrets," Finance Minister K M Mani said.

He noted that nothing had appeared in the media on taxation matters.

Addressing a press conference after presenting the 2012-13 budget, Mani said during pre-budget discussions, new schemes and policies used to be put out in the public domain.

He said the Opposition protest in the assembly over the issue was only to divert people's attention from the 'good part of budget proposals'.

When the matter was raised by the Opposition, Speaker G Karthikeyan directed the government to hold an inquiry into the alleged leakage and file a report to the house.

Opposition leader V S Achuthanandan had raised the matter in the house before Mani began the budget speech.

Karthikeyan assured the Opposition he would examine the issue and give his ruling before the budget speech end of the budget speech.

After the budget presentation, he informed the house he had examined the matter and that certain proposals in the budget had appeared in the press.

As per precedents in Parliament and the state assembly, the Speaker directed the government to submit a report after inquiring how certain budget proposals were leaked to the press.