UPSC MainsHISTORY-PAPER-II201620 Marks
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Q12.

"The need to impose greater parliamentary control over the Company's affairs increased during the decades (1773 – 1853) after Plassey." Elucidate.

How to Approach

This question requires a historical analysis of the evolving relationship between the British East India Company and the British Parliament. The answer should trace the increasing concerns regarding the Company’s administration, financial practices, and political influence in India, leading to greater parliamentary intervention. Focus on key Acts passed between 1773 and 1853 – Regulating Act, Pitt’s India Act, Charter Acts, and the Government of India Act 1858 – and explain how each Act expanded parliamentary control. A chronological structure is best suited, highlighting the reasons behind each intervention.

Model Answer

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Introduction

The Battle of Plassey in 1757 marked a turning point in British involvement in India, transforming the East India Company from a trading entity into a significant political power. However, this newfound power came with its own set of problems. The Company’s administration was characterized by corruption, mismanagement, and a blatant disregard for the welfare of the Indian population. Simultaneously, its growing financial strength and political influence began to raise concerns within Britain itself. Consequently, the decades following Plassey (1773-1853) witnessed a gradual but consistent increase in parliamentary control over the Company’s affairs, driven by a desire to regulate its activities, protect British interests, and address the growing criticisms of its governance.

Early Concerns and the Regulating Act of 1773

Initially, the British government adopted a laissez-faire approach towards the Company, believing in its ability to self-regulate. However, by the early 1770s, the Company’s financial instability and reports of widespread corruption, particularly the ‘Dual System of Government’ established by Robert Clive, prompted intervention. The Regulating Act of 1773 was the first significant step towards parliamentary control.

  • It established a Governor-General in Bengal with limited powers to supervise the Company’s presidencies.
  • A four-member Council was created to assist the Governor-General, but its effectiveness was hampered by internal conflicts.
  • The Act also subjected the Company’s civil servants to parliamentary scrutiny.

While a landmark act, it was largely seen as inadequate due to its limited scope and the continued dominance of the Company’s directors.

Pitt’s India Act of 1784: Further Control

The shortcomings of the Regulating Act, coupled with the outbreak of the First Anglo-Mysore War, led to the enactment of Pitt’s India Act of 1784. This Act significantly enhanced parliamentary control over the Company’s affairs.

  • It established a Board of Control comprising six Privy Councillors appointed by the Crown, responsible for overseeing the Company’s political activities.
  • The Governor-General’s powers were expanded, and he was given the authority to override his Council in certain circumstances.
  • The Act also introduced a system of secret committees within Parliament to scrutinize the Company’s correspondence and financial records.

Pitt’s India Act effectively divided the Company’s power between its Court of Directors (responsible for commercial affairs) and the Board of Control (responsible for political affairs), marking a clear assertion of parliamentary sovereignty.

The Charter Acts (1813, 1833, 1853)

The Company’s charter was periodically renewed by Parliament, and each renewal provided an opportunity to further refine the relationship between the Company and the British government. The Charter Act of 1813 abolished the Company’s commercial monopoly (except for tea and opium), asserting the Crown’s sovereignty over Indian territories. It also granted British subjects the right to settle and trade in India.

The Charter Act of 1833 was a pivotal moment. It abolished the Company’s commercial activities altogether, transforming it into a purely administrative body. The Governor-General of Bengal was made the Governor-General of India, extending British authority over the entire subcontinent. A Law Member was added to the Governor-General’s Council, further strengthening the legal framework.

The Charter Act of 1853 separated the legislative and executive functions of the Governor-General’s Council, introducing a separate legislative council. This laid the foundation for a more formalized legislative process in India.

The Sepoy Mutiny of 1857 and the Government of India Act 1858

The Sepoy Mutiny of 1857, triggered by a variety of grievances, exposed the inherent weaknesses in the Company’s administration and its inability to maintain order. The mutiny served as the catalyst for the complete dissolution of the East India Company. The Government of India Act of 1858 abolished the Company altogether and transferred its powers directly to the British Crown.

  • India came under the direct rule of the British government, administered by a Secretary of State for India appointed by the Crown.
  • A Council of India, comprising fifteen members, was established to advise the Secretary of State.
  • The Act marked the end of the Company’s dual role as a trading and administrative entity and ushered in an era of direct British colonial rule.

This act represented the culmination of decades of increasing parliamentary control, finally establishing complete British sovereignty over India.

Act Year Key Provisions Impact on Parliamentary Control
Regulating Act 1773 Governor-General in Bengal, limited powers, scrutiny of civil servants Initial step towards regulation, limited impact
Pitt’s India Act 1784 Board of Control, expanded Governor-General’s powers, secret committees Significant increase in parliamentary oversight
Charter Act 1813 Abolition of commercial monopoly (except tea & opium) Asserted Crown’s sovereignty
Charter Act 1833 Abolition of commercial activities, Governor-General of India, Law Member Transformed Company into purely administrative body
Charter Act 1853 Separation of legislative and executive functions Formalized legislative process
Government of India Act 1858 Abolition of the Company, direct rule by the Crown Complete parliamentary control

Conclusion

The period between 1773 and 1853 witnessed a gradual but relentless increase in parliamentary control over the East India Company’s affairs. Driven by concerns over corruption, mismanagement, and the Company’s growing political and economic power, successive Acts of Parliament progressively curtailed the Company’s autonomy and expanded the reach of British government oversight. The Sepoy Mutiny of 1857 ultimately proved to be the tipping point, leading to the complete dissolution of the Company and the establishment of direct British rule. This evolution reflects a broader trend of colonial powers seeking to exert greater control over their overseas possessions, ensuring alignment with imperial interests and mitigating the risks associated with unchecked corporate power.

Answer Length

This is a comprehensive model answer for learning purposes and may exceed the word limit. In the exam, always adhere to the prescribed word count.

Additional Resources

Key Definitions

Dual System of Government
A system implemented by Robert Clive in Bengal where the Company controlled revenue collection while the Nawab held administrative authority, leading to widespread corruption and exploitation.
Laissez-faire
A policy or attitude of letting things take their own course, without interfering. In the context of the East India Company, it refers to the initial British policy of minimal intervention in the Company’s affairs.

Key Statistics

By 1857, the East India Company controlled approximately 83% of the Indian subcontinent.

Source: Knowledge cutoff (pre-2023)

The Company’s revenue from India increased from £8 million in 1765 to over £30 million by 1800.

Source: Bayly, C.A. (1990). Imperial History and Culture: Wars, Peace and Imperialism. Cambridge University Press.

Examples

Warren Hastings’ Impeachment

The impeachment of Warren Hastings (1786-1795) by the British Parliament, based on charges of corruption and abuse of power during his tenure as Governor-General of Bengal, demonstrated the growing parliamentary scrutiny of Company officials.

Frequently Asked Questions

Why did the British Parliament initially allow the East India Company so much autonomy?

Initially, the British government believed in the principles of mercantilism and saw the Company as a vehicle for promoting British trade and economic interests. They also lacked a strong understanding of the complexities of Indian governance and believed the Company was best equipped to manage its affairs.

Topics Covered

HistoryIndian HistoryColonialismEast India CompanyBritish ParliamentGovernanceColonial Administration