Bengaluru, 31 Dec

The Karnataka Housing Board (KHB) on Wednesday cautioned the public against purchasing sites in the Suryanagar Phase-4 housing project in Bengaluru based on so-called ‘plot selection letters’, warning that such transactions are illegal and could result in fraud and financial losses.

In a public notice, the KHB Housing Commissioner said land measuring 1,498 acres and 39 guntas in Indlawadi, Kadujakkanahalli and Bagganadoddi villages of Anekal taluk in Bengaluru Urban district had been acquired under Section 6(1) of the Land Acquisition Act for the development of the Suryanagar Phase-4 residential layout.

The project is being developed on a 50:50 sharing basis between the Housing Board and the landowners. Under the arrangement, 50 per cent of the developed land is to be handed over to land losers, while development works for the layout are currently underway.

Clarifying the nature of documents issued during the process, the Board said that the ‘symbolic plot selection letter’ issued to landowners does not grant any ownership or transfer rights. “A 'symbolic plot selection letter' given to the land losers is only a document indicating the plots earmarked for landowners as part of the selection/reservation process and does not confer any right to transfer, enter into agreements, or sell the plots.”

KHB officials said they had received complaints that some landowners were misusing these symbolic letters to enter into sale agreements and, in some cases, even transferring sites to unsuspecting members of the public.

The Board also flagged instances of fake and forged symbolic plot selection letters being created and circulated, terming such acts illegal and fraudulent.

Advising caution, the Housing Board said members of the public should purchase sites only after formal allotment letters are issued by KHB in the names of landowners, followed by registration and issuance of e-Khata.

“Otherwise, the Karnataka Housing Board shall not be responsible for any illegal transactions, fraud or losses suffered by the public,” the notice warned.