Option 1, A.O. Hume, is not the correct answer. A.O. Hume played a significant role in the formation of the Indian National Congress but did not preside over its first session.

Option 2, W.C. Banerjee, is the correct answer. W.C. Banerjee presided over the first Session of the Indian National Congress which took place in Bombay (now Mumbai) in December 1885. Banerjee, a lawyer and influential political figure, was elected as the President of the Congress for its inaugural session.

Option 3, Surendranath Banerjee, is not the correct answer. Although Surendranath Banerjee was a prominent leader in the Indian National Congress, he did not preside over its first session.

Option 4, Badruddin Tyabji, is also not the correct answer. Badruddin Tyabji was the third President of the Indian National Congress, not the first.

Therefore, option 2, W.C. Banerjee, is the correct answer.