Explanation:

The correct answer is option 'B' - Both 1 and 2.

Statement 1: Judiciary is the final interpreter of the Constitution.

The Constitution of India is the supreme law of the land and it establishes the framework for the governance of the country. It lays down the powers, functions, and limitations of each branch of the government - the legislature, executive, and judiciary.

The judiciary plays a crucial role in interpreting the Constitution and ensuring its proper implementation. It acts as a guardian of the Constitution and ensures that the actions of the government are in line with the principles and values enshrined in the Constitution.

The Supreme Court of India, being the apex court, has the final authority to interpret the Constitution. It has the power to determine the constitutional validity of laws and executive actions. Through its judgments, the Supreme Court provides authoritative interpretations of the Constitution, which are binding on all other courts in the country.

Therefore, the statement that the judiciary is the final interpreter of the Constitution is correct.

Statement 2: Judiciary has the final power to strike down laws passed by the Parliament if they violate the Constitution's basic structure.

The basic structure doctrine is a concept developed by the Indian judiciary to safeguard the fundamental principles of the Constitution. According to this doctrine, certain fundamental features of the Constitution cannot be amended by the Parliament, even if it uses the constitutional amendment procedure.

The Supreme Court, in its landmark judgment in the case of Kesavananda Bharati v. State of Kerala, held that the Parliament's power to amend the Constitution is not unlimited. It stated that while the Parliament has the power to amend any provision of the Constitution, it cannot alter its basic structure.

The basic structure of the Constitution includes principles such as the supremacy of the Constitution, the rule of law, judicial review, separation of powers, federalism, secularism, and fundamental rights. If any law passed by the Parliament violates these basic features, the judiciary has the power to strike it down as unconstitutional.

Therefore, the statement that the judiciary has the final power to strike down laws passed by the Parliament if they violate the Constitution's basic structure is also correct.

In conclusion, both statements are correct. The judiciary is indeed the final interpreter of the Constitution, and it has the final power to strike down laws passed by the Parliament if they violate the Constitution's basic structure. This ensures the supremacy of the Constitution and the protection of fundamental rights.