Explanation:

Second option is correct.

The Atomic Energy Commission of India was set up in August 1948. It was set up as an executive body by the Presidential Order.

The Indian Atomic Energy Commission was set up on 10 August 1948 under the late Department of Scientific Research. A resolution passed by the Government of India later replaced the commission by "Atomic Energy Commission of India" on 1 March 1958 under the Department of Atomic Energy with more financial and executive powers.

The functions of the Atomic Energy Commission are: (i) to organize research in atomic science in the country (ii) to train atomic scientists in the country (iii) to promote nuclear research in commission's own laboratories in India (iv) to undertake prospecting of atomic minerals in India and to extract such minerals for use on industrial scale.