It functions as a regional planning body for the North-Eastern area. Priority is given to projects and schemes which will benefit two or more states of the North-Eastern area. - Statement 1 is correct: The North Eastern Council (NEC) consists of Governors and Chief Ministers of the eight North Eastern states as members, along with nominated members from the Union Government (currently Union Home Minister as Chairman and Minister of DoNER as Vice-Chairman). - Statement 2 is correct: The NEC was established under the North Eastern Council Act, 1971, primarily as a regional planning body for the socio-economic development of the North Eastern area. - Statement 3 is correct: The NEC gives priority to projects and schemes that benefit two or more states in the North Eastern region, focusing on inter-state infrastructure development and regional integration.