Which one of the following statements is not correct ?

Statement 3 is incorrect because the Finance Bill, like other Money Bills, must be passed by both Houses of Parliament, although the Rajya Sabha has limited powers [1]. While the Rajya Sabha cannot reject or amend a Money Bill, it must return the bill within 14 days with or without recommendations. If the Lok Sabha rejects these recommendations, the bill is still deemed passed by both Houses [1]. Statement 1 is correct as Article 114(2) prohibits amendments to an Appropriation Bill that vary the amount or destination of grants. Statement 2 is correct per Article 114(3) and 266(3), which mandate that no money be withdrawn from the Consolidated Fund of India except under appropriation made by law [3]. Statement 4 is correct as Money Bills (including Finance Bills) require the President's prior recommendation for introduction in the Lok Sabha.

Sources

1. [1] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 4: Government Budgeting > Finance Bill > p. 149
2. [2] Indian Polity, M. Laxmikanth(7th ed.) > Chapter 23: Parliament > Money Bill. > p. 248
3. [3] Laxmikanth, M. Indian Polity. 7th ed., McGraw Hill. > Chapter 23: Parliament > Stages in Enactment > p. 254