Correct Answer: Option A) 1 and 2 only
The Indus Waters Treaty is a water-sharing arrangement signed between India and Pakistan in 1960, mediated by the World Bank.
India was allocated waters of Ravi, Beas, and Sutlej for unrestricted use - This statement is correct. Under the treaty, India received exclusive rights to use the waters of the "Eastern Rivers" (Ravi, Beas, and Sutlej) before they enter Pakistan.
Pakistan was allocated waters of Jhelum, Chenab, and Indus - This statement is correct. Pakistan received rights to the waters of the "Western Rivers" (Indus, Jhelum, and Chenab).
India can use Chenab waters for consumptive irrigation purposes under the treaty - This statement is incorrect. While India has limited rights to use the Western Rivers (including Chenab) for non-consumptive purposes like power generation, navigation, and some limited agricultural use in Jammu and Kashmir, the treaty does not allow India to use Chenab waters for consumptive irrigation purposes. India can only construct "run-of-the-river" hydroelectric projects on these rivers without reducing or delaying the flow significantly.