With reference to 'Urban Cooperative Banks' in India, consider the following statements : 1. They are supervised and regulated by local boards set up by the State Governments. 2. They can issue equity shares and preference shares. 3. They were brought under the purview of the Banking Regulation Act, 1949 through an Amendment in 1966. Which of the statements given above is/are correct?

Statements 2 and 3 are correct because the Banking Regulation (Amendment) Act, 2020, permitted UCBs to raise capital through equity and preference shares, and these banks were historically brought under the 1949 Act via a 1966 amendment. Statement 1 is the primary distractor and is incorrect because UCBs are under "dual control," where the RBI regulates banking functions while administrative matters are managed by the Registrar of Cooperative Societies, not solely by state-appointed local boards. The core concept tested is the regulatory evolution and capital structure of cooperative banking in India.