Section 109(1B) in Karnataka Land Reforms Act, 1961
(1B)in cases where the land in any area, cannot be utilized for the purpose of industrial development, educational institutions, Places of worship, a Housing Project approved by the State Government or Horticulture purpose under sub-section (1) within the prescribed time, such land shall be surrendered to the land bank of the Government, failing which the exemption shall be cancelled and same be forfeited to the Government without paying compensation.Provided that the Deputy Commissioner other than the Deputy Commissioner of Bangalore Rural District and the Deputy Commissioner of Bangalore District, may subject to the restrictions and the manner specified in this sub-section exercise the power of the State Government to grant exemptions to an extent not exceeding half hectare of land.