SBI Board Approves Telangana Government’s Alternate Land Offer, Raidurg Dispute Likely to End
The ongoing land dispute between the Telangana government and the State Bank of India (SBI) over a five-acre plot in Raidurg’s Knowledge City is likely to end soon. As per reports, the SBI has approved the state government’s offer of alternative land.
Following this development, SBI is expected to withdraw its case pending before the Telangana High Court. This could clear a major dispute involving one of Hyderabad’s most expensive land parcels.
According to sources, the SBI board approved the proposal during its meeting on June 30. The official resolution is expected to reach the bank’s local officials within the next few days.
Under the new agreement, SBI will receive 2.5 acres of land in Knowledge City. The bank will also be allotted around seven to eight acres of land in Bharat Future City.
SBI had earlier requested 10 acres of land in Future City to set up a proposed data centre. However, the Telangana government had initially offered five acres.
Officials from the Industries Department said that once SBI’s local officials receive the board resolution, the bank is expected to file an affidavit before the Telangana High Court. The next hearing in the case is scheduled for July 9. SBI is likely to formally withdraw its petition before the court.
What is the land dispute?
The dispute started after the Telangana Industrial Infrastructure Corporation (TGIIC) conducted a land auction in Knowledge City in May. During the auction, one acre of land was sold for a record ₹237 crore.
SBI had originally acquired the five-acre land parcel in Raidurg in 2010 at ₹13.30 crore per acre. The bank planned to construct office and commercial facilities on the land.
However, SBI reportedly failed to complete the payment process. As a result, TGIIC cancelled the land allotment in January 2021 and took back possession of the land.
The Telangana Government Industrial Infrastructure Corporation (TGIIC) auctioned the land on June 1. The auction generated a record revenue of ₹1,038.36 crore, with the land fetching nearly ₹204 crore per acre, making it one of the most expensive land deals in the region.
However, SBI challenged the auction in the High Court. The bank argued that it had purchased the land in 2010 for ₹13.33 crore and that the property was still under its possession.
When the government did not listen to SBI’s concerns, the bank filed a case in court. It was reported that the government was pressuring SBI to withdraw the case. Reports also claimed that the government had threatened to withdraw all government funds from SBI if the case was not withdrawn. Finally, SBI has accepted the government’s decision.
