Explanation:

On September 25, Karnataka Forest Minister Anand Singh announced in the Assembly that the state government would soon declassify 6.64 lakh hectares of the 9.94 lakh hectares of deemed forests in the state (nearly 67%) and hand it over to Revenue authorities.

• The move has been taken after a study of the actual extent of deemed forest areas by local committees headed by officials from the Revenue, Forest and Land Records Departments in every district.
• The issue of deemed forests is a contentious one in Karnataka, with legislators across party lines often alleging that large amounts of agriculture and non-forest land are “unscientifically” classified as such.

Deemed Forests

• The concept of deemed forests has not been clearly defined in any law including the Forest Conservation Act of 1980.
• The Supreme Court in the case of T N Godavarman Thirumalpad (1996) accepted a wide definition of forests under the Act. 
• It has been 23 years since the Supreme Court asked all states in the country to identify deemed forests, but their status in several states is still unclear.
• The SC, in a December 12, 1996 judgement, had broadened the definition of forest to include not just land classified as forest under forest or revenue departments, but also those that are forests according to the definition of a forest.
• It had then also asked states to form committees to identify forests, irrespective of the nature of land ownership or whether they are notified, recognised or classified in a time-bound manner.
• There are forests that are notified either with the forest department or revenue department. Then there are those areas that are like forests but are neither recorded, nor notified.
• The Supreme Court had ordered that the states identify and classify these as deemed forests.

Hence only statement 1st is correct.