MUMBAI: The British Prime Minister Gordon Brown has apparently written to Prime Minister Manmohan Singh about the Vodafone tax case, sources have exclusively told Bloomberg UTV.

While the exact contents of the letter remain unknown, we do understand that Gordon Brown has sought to impress upon the Indian government that taxing transactions like Vodafone–Hutch could create uncertainty for foreign investors, and could even affect the investment climate in India.

Multiple confirmations from top government sources reveal that the Indian government has replied to the letter, saying that the matter is subjudice and that no decision has been taken regarding taxation of the Vodafone–Hutch deal. To give a brief background to our viewers, the Indian income tax department is seeking $2 billion in capital gains taxes from Vodafone over its purchase of Indian telecom company – Hutchison Essar, three years ago.