Explanation:

Both statements are correct.

• Under Article 105(2) of the Constitution, “no Member of Parliament shall be liable to any proceedings in any court in respect of anything said…in Parliament or any committee thereof”. However, MPs don’t enjoy the freedom to say whatever they want inside the House.

• The speech of MPs is subject to the discipline of the Rules of Parliament, “good sense” of its Members, and the control of proceedings by the Speaker. These checks ensure that MPs cannot use “defamatory or indecent or undignified or unparliamentary words” inside the House.

• Rule 380 (“Expunction”) of the Rules of Procedure and Conduct of Business in Lok Sabha says: “If the Speaker is of opinion that words have been used in debate which are defamatory or indecent or unparliamentary or undignified, the Speaker may, while exercising discretion order that such words be expunged from the proceedings of the House.”

• Rule 381 says: “The portion of the proceedings of the House so expunged shall be marked by asterisks and an explanatory footnote shall be inserted in the proceedings as follows: ‘Expunged as ordered by the Chair’.”

Hence option 3rd is correct.