Statement 2 is correct. Article 266(3) of the Constitution of India mandates that no amount can be withdrawn from the Consolidated Fund of India except under an appropriation made by law passed by Parliament. This provision ensures parliamentary control over government expenditure from this fund.
Statement 1 is incorrect. The Department of Economic Affairs (DEA), under the Ministry of Finance, is responsible for the preparation of the Union Budget. The Department of Revenue is primarily concerned with tax policy, administration of direct and indirect taxes, and revenue collection.
Statement 3 is incorrect. Disbursements from the Public Account of India do not require parliamentary authorization. This account holds funds such as provident funds, small savings, and remittances, which are not government money but are held by the government in a trust capacity. Transactions from the Public Account are handled by executive action and are not subject to parliamentary vote for withdrawal.
Option (a) is incorrect because Statement 1 is incorrect.
Option (b) is incorrect because Statement 3 is incorrect.
Option (d) is incorrect because both Statements 1 and 3 are incorrect.