The Karnataka government decided to withdraw the Town and Country Planning (Amendment) Bill, citing concerns over flaws in its provisions. Urban Development Minister Suresh BS conveyed this decision during a session of the Assembly, explaining that the government identified certain shortcomings in the bill. However, he did not provide detailed information about the specific issues that led to this move.

The minister also highlighted that the bill had faced objections from Governor Thaawarchand Gehlot, who raised concerns about its provisions. While the exact nature of these objections was not disclosed during the Assembly session, they appeared to have contributed significantly to the government’s decision to reconsider the legislation.

According to sources within the Urban Development Department, the bill was primarily aimed at regularising illegal layouts through the payment of a betterment fee. However, this objective was complicated by the Supreme Court’s ongoing stay on the controversial 'Akrama Sakrama' scheme, which had previously sought to legalise unauthorised constructions. These legal constraints and the associated risks prompted the government to halt any further progress on the bill, prioritising adherence to judicial directions and avoiding potential conflicts.