Telangana and SBI Settle Long-Standing Property Dispute Over Raidurg Land Parcel
The Telangana government and SBI have agreed to resolve a long-standing property dispute regarding prime land in Raidurg. Both parties have reached an agreement in principle to settle the issue by providing an alternative parcel of land, effectively paving the way to end ongoing litigation.
Highlights
- •Telangana government and SBI agree to resolve the Raidurg land dispute through alternative land allotment.
- •The resolution follows a high-level meeting at the Secretariat involving senior officials and bank representatives.
- •The dispute originated from an unutilized land allotment made in 2010 for an office complex.
- •SBI is expected to withdraw its High Court petition following formal board approvals and legal formalities.
A long-standing property dispute between the Telangana government and the State Bank of India (SBI) regarding a prime plot in Raidurg appears to be nearing a conclusion. Both parties have reached an agreement in principle to resolve the contentious issue through the allocation of an alternative land parcel, marking a significant development in the case.
This resolution effort follows a formal meeting held at the Secretariat on Saturday. The session was chaired by Chief Secretary K. Ramakrishna Rao and involved key government officials, including Finance Principal Secretary Sandeep Kumar Sultania, as well as TGIIC Vice-Chairman and Managing Director K. Shashanka. Representing the financial institution, senior SBI officials, including Deputy MD G.S. Rana, CGM Neelesh Dwivedi, and AGM G. Poovazhagi, were also present. It is anticipated that the bank will soon take steps to withdraw its pending petition in the High Court related to the Raidurg land auction.
Resolving the Long-Term Property Dispute
The path to this settlement was paved after a meeting on June 22, during which the state government formally proposed alternative sites for the bank. Representatives from SBI inspected these suggested locations on June 23 and subsequently confirmed their acceptance of the offer. The bank indicated that it would finalize the process following formal approval from its board and adhere to necessary legal procedures in alignment with ongoing court proceedings. Both sides have committed to concluding the matter quickly once statutory formalities are finalized.
This property dispute traces its origins back to August 6, 2010, when the then-government of Andhra Pradesh allotted five acres in Survey No. 83/1 at Raidurg to the erstwhile State Bank of Hyderabad (SBH). The land was provided at a concessional rate of ₹13.30 crore intended for the development of an office complex. While possession of the site was transferred in January 2011, the project failed to commence. Consequently, the APIIC began issuing notices in 2012, eventually proposing the cancellation of the allotment.
The situation escalated when TSIIC officially cancelled the allotment on January 22, 2021, and reclaimed possession on February 1. Following the merger of SBH with SBI, the bank challenged the cancellation in the High Court. During the ensuing litigation, the government put forward proposals for alternative land at Osmannagar and Gandipet, while the court urged all parties to reconsider the bank's representations. The matter gained fresh urgency this year after an e-auction notice for the Raidurg site was issued in May. Although SBI initially contested the auction, the latest agreement demonstrates a mutual desire to settle the matter outside of further litigation.
