Option 1 states that at the Inter-State Council Meeting, the Centre and the States agreed to keep the provision of imposing President`s rule in the Constitution but introduced safeguards to prevent its misuse. This means that while the power to impose President`s rule will still exist, there will be measures put in place to ensure that it is not used incorrectly or for political reasons.
Option 2 states that the Council accepted the recommendation of the Sarkaria Commission, which suggests that Article 356 (which deals with the imposition of President`s rule) should only be used sparingly and as a last resort. This means that the Council agrees with the Commission`s view that President`s rule should only be imposed in extreme cases and after all other options have been exhausted.
Option 3 states that the Council noted that Article 356 has never been used by the Centre and no State Government has been dismissed based on that provision. This means that Article 356 has never been invoked to impose President`s rule, and therefore no State Government has been removed from office using this provision.
Given that all of these options are true, option 4 is the correct answer as it includes all of the decisions mentioned in options 1, 2, and 3.