Telangana HC Revokes Land Allotment for Hyderabad Arbitration Centre

Speedy Summary:

• Telangana High Court (HC) canceled a 2021 allotment of 3.7 acres of prime land in Hyderabad’s Raidurg area to the International Arbitration and Mediation Center (IAMC).
• The land was given free of cost by the previous BRS government and backed by former Chief Justice of India N.V. Ramana.
• Two Public Interest Litigations (PILs) challenged the allotment, citing violations of the Telangana land Revenue Act and Andhra Pradesh Alienation of State Lands Rules, 1975, wich required payments based on market value.
• HC criticized the state government for acting with undue haste in granting this land but upheld its decision to provide financial assistance worth Rs 3 crore annually to IAMC for promoting institutional arbitration.

Indian Opinion Analysis:
the Telangana High Court’s judgment underscores adherence to proper governance procedures concerning state-owned resources. While institutional arbitration is an critically important initiative, notably for reducing judicial backlog and promoting alternative dispute resolution mechanisms, offering prime public land without market-value payment raises accountability concerns for governments handling public assets. Upholding annual financial support while canceling a free-land grant reflects judicial balance in fostering beneficial projects within legal boundaries.This ruling may serve as a precedent to reassess similar allocations across states while ensuring transparency and compliance with laws governing resource utilization.

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