In indirect speech, we shift the tense back one step from the original (if the reporting verb is in the past).
- Direct: “There are ceremonies going on.”
- Indirect: “He told me that there were ceremonies going on.”
Key transformations:
“said to me” becomes “told me”
“are” (present) becomes “were” (past) in indirect speech.
Other options:
(B) “had been” is unnecessary for present continuous.
(C) no tense shift — grammatically incorrect in reported speech.
(D) “have been” is incorrect here and doesn’t match the meaning.