Bengaluru: Though several sites and flats formed by Karnataka Housing Board (KHB) have remained unsold resulting in loss of crores of rupees, KHB has announced that it would again form another 20,000 sites and flats in the State questioning the rationale behind such a decision.

Disclosing this at a press meet here yesterday, former Minister and KHB Chairman Malikaiah Guttedar said that KHB will not buy land from private parties but instead form a tie up with farmers to allot 50% of the sites to latter which was 60:40 earlier. He further said that KHB, Rajiv Gandhi House Building Board and Slum Clearance Board together have sought 800 acre of land acquired by the Govt.

He added that 6,500 sites and 872 houses have been distributed by KHB over the last six months.

Guttedar said that a Committee would be constituted to probe the reason behind the losses incurred by KHB for unsold flats and sites.