Australia well placed on 237/2 in 65 overs with Labuschagne on 72 and Smith on 42.
Sundar makes the breakthrough with the important wicket of Labuschagne, who is caught by Kohli.
He came down the track to loft Sundar over the top but failed to get enough elevation as Kohli completed a well-judged overhead catch at mid-off.
India doing well to chip away at the wickets as Australia's top 3 are guilty of not carrying on after getting off to starts.
Travis Head is unable to get off the mark from the remaining five deliveries of the over.