Consider the following two statements.

In a federation, the powers of the federal and provincial governments are clearly demarcated.

India is a federation because the powers of the Union and State Governments are specified in the Constitution and they have exclusive jurisdiction on their respective subjects.

Sri Lanka is a federation because the country is divided into provinces.

India is no longer a federation because some powers of the States have been devolved to the local government bodies.

Which of the statements given above are correct?