Which one of the following statements about emergency provisions under the Constitution of India is not correct?

Under the Constitution of India, the power to declare a Financial Emergency resides exclusively with the President of India under Article 360, not the Governor. If the President is satisfied that the financial stability or credit of India or any part of its territory is threatened, he may issue a proclamation. Statement 1 is correct as Article 353(a) extends the Union's executive power to directing States on how to exercise their executive authority [1]. Statement 2 is correct because during a Financial Emergency, the President can issue directions for the reduction of salaries of persons serving in connection with the affairs of a State. Statement 3 is correct as the Constitution vests emergency powers (Articles 352, 356, and 360) solely in the President. Statement 4 is incorrect because the Governor lacks the constitutional authority to declare a financial emergency.

Sources

1. [1] Introduction to the Constitution of India, D. D. Basu (26th ed.). > Chapter 28: EMERGENCY PROVISIONS > A. Proclamation of Emergency. > p. 413