Raising the issue, Opposition Leader Siddaramaiah demanded that the session be extended by a day to discuss the CAG report.
The CAG had yesterday rapped the B S Yedyyurappa and H D Kumaraswamy governments for "rampant" illegal denotification of land benefiting builders and companies during 2007-11.
The report has also thrown light on illegal mining done during 2006-11 in three districts of Karnataka, resulting in the state losing Rs 3414.45 crore in revenue.
Siddaramaiah contended that the purpose of holding winter session would be defeated if the Upper Krishna Project is not debated and government does not reply on the issue.
He opined that government should have held a 15 day winter session and pointed out it had been held for just 33 days in the year instead of the mandatory 60 days.
Deputy Chief Minister K S Eshwarappa intervened and said that he supported the demand for extension, but it would be difficult for legislators to attend it as they had already committed themselves to their constituencies.
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As per the agenda, the session was to end yesterday, but government extended it by one more day, he said and urged the chair to conduct the business of the day.
Siddaramaiah countered by saying the Speaker has powers to direct the government to extend the session.
Bopaiah ruled out the Opposition's demand, following which Congress and JDS staged a walkout.
The Assembly later passed Karnataka Prevention of Cow Slaughter and Preservation of Cattle (Amendment) Bill 2012, which was opposed by the opposition yesterday.
Speaking to reporters outside the House, Congress and JDS leaders said they would seek intervention of Governor H R Bhardwaj to stall the 'controversial' Cow Slaughter Ban Bill.
The Assembly later passed several Private Universities Bills.