JUDGMENT :

Satish Chandra Sharma, J.

1. The present writ appeal is arising out of order dated 13.11.2008 passed in W.P.No.4926 of 2008 by the learned Single Judge.

2. The undisputed facts of the case reveal that Industrial Development Bank of India, a Government Banking Company registered under the Companies Act, 1956 has filed the writ petition in the year 2008 and later on, the name of the petitioner company was changed to IDBI Bank Limited after following the due process of law as provided under the Companies Act, 1956.

3. During the pendency of the writ appeal, an application was filed by the writ petitioner/respondent in the writ appeal for amendment and in place of Industrial Development Bank of India to IDBI Bank Limited has been substituted. The factum of change of name has also been recognized by the Reserve Bank of India, vide order dated 08.09.2008. The change in the name took place on account of the fact that the Life Insurance Company of India has acquired major share holdings in the writ petitioner/respondent Bank and now it is known as IDBI Bank Limited (for short, “the Bank”). The facts further reveal that the Bank at the time when it was completely owned and controlled by the Government of India, in order to establish a staff college, training centre and other buildings for catering to the development of the employees of the petitioner Bank, other Banks as well as foreign banks, was in need of land in the township of Hyderabad and therefore, an application was made to the State Government for allotment of land.

4. The facts of the case further reveal that an application was made for allotment of Acs.100.00 of land. However, Acs.50.00 of land was allotted by the State Government to the Bank vide G.O.Ms.No.895, dated 16.09.1987 and the same reads as under :

“GOVERNMENT OF ANDHRA PRADESH ABSTRACT

ALIENATION - Land- Ranga Reddy District - Serilingampally Mandal - Gachibowli village - S.No. 91 to an extent of Ac. 50-00 in favour of the Industrial Development Bank of India, Hyderabad - Orders - Issued.

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Revenue (Q) Department

G.O.Ms.No.895 Dated: 16-9-1987

Read the following:

1. From the Commissioner of Land Revenue, Hyderabad letter No.BB1/230/87 dt., 20.4.1987.

ORDER :

In the circumstances reported by Commissioner of Land Revenue, Hyderabad in the reference 1st read above, Government accord sanction for alienation of land measuring to an extent of Acs. 50-00 (fifty acres) in Sy.No.91 of Gachibowli village, Serilingampally Mandal, Rangareddy District in favour of the Industrial Development Bank of India, Hyderabad for establishment of the International Training Institute of Development Banking on payment of market value at Rs.25,000/-(Rupees Twenty five thousand only) per acre in relaxation of the orders. issued in G.O.Ms.No.1409 Revenue dt. 5-5-1982 and also the orders. issued in G.O.Ms.No.696, Revenue dt.24-6-1985read with G.O.Ms.No.911, revenue dt. 1.8.1985 and also G.O.Ms.No.700, Revenue dt. 20.6.1986.

2. The Collector, Ranga Reddy District is requested to take necessary further action in the matter accordingly.

3. The record of enquiry of Collector, received from the Commissioner of Land Revenue, Hyderabad is returned herewith to the Collector and he is requested to acknowledge the receipt of the same.

(BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA PRADESH)

T. MUNIVENKATAPPA,

SECRETARY TO GOVERNMENT.”

5. The Bank thereafter carried out the construction activities. The another important aspect of the case is that the allotment of the land was not without any consideration. The land was allotted to the Bank on payment of market value. Meaning thereby, the State Government has not done any charity to the Bank and has charged market value prevailing in the year 1987 while allotting Ac.50.00 of land. The Bank has established training centre besides other complex and carried out plantation and a boundary wall has also been constructed in order to secure its pre