Explanation:

Article 77: Conduct of Business of the Government of India: o All executive action of the Government of India shall be expressed to be taken in the name of the President. Hence, statement 1 is correct. o Orders and other instruments made and executed in the name of the President shall be authenticated in such manner as may be specified in rules to be made by the President. o The President shall make rules for the more convenient transaction of the business of the Government of India and for the allocation among Ministers of the said business. • In exercise of the powers conferred by clause (3) of above Article 77 of the Constitution and in supersession of all previous rules and orders on the subject the President has made the Rules for the Allocation of the Business of the Government of India, 1961: o The Ministries/Departments of the Government are created by the President on the advice of the Prime Minister under these Rules. o The Ministries/Departments of the Government are diminished or merged by the President on the advice of the Prime Minister. • The Cabinet Secretariat is under the direct charge of the Prime Minister. The administrative head of the Secretariat is the Cabinet Secretary who is also the ex-officio Chairman of the Civil Services Board. • The business of the Government of India allocated to the Cabinet Secretariat is and, shall always be deemed to have been, allotted to the Prime Minister. Hence statement 2 is correct.