Correct option is B
In India, the residuary powers to legislate any matter that is NOT mentioned in the three federal lists lies with the union legislature. Therefore, option (b) is the correct answer.
The Union List, State List, and Concurrent List divide the legislative powers between the Union and the states, but any matter that is not included in these lists falls under the residuary powers of the Union. These powers are enumerated in the Union List under Entry 97.