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The correct answer is option 1, Maldives. `Operation Cactus` refers to the Indian military intervention in the Maldives.
Option 2, Sri Lanka, is not the correct answer. There was a separate military intervention in Sri Lanka by India, known as `Operation Pawan`, which took place in 1987.
Option 3, Bangladesh, is also not the correct answer. India did not have a military intervention in Bangladesh with the specific name `Operation Cactus`. However, India did play a significant role in the liberation of Bangladesh from Pakistan in 1971.
Option 4, Bhutan, is not the correct answer either. India has had a close relationship with Bhutan and has provided assistance in terms of military cooperation and security, but there has not been a military intervention by India in Bhutan called `Operation Cactus`.
Therefore, the correct answer to the question is option 1, Maldives. `Operation Cactus` refers to the Indian military intervention in the Maldives.