The Regulation Act of 1773, also known as the East India Company Act 1773, marked a significant turning point in the British administration of India. Enacted by the British Parliament, this act aimed to regulate the affairs of the British East India Company in India, particularly in matters of governance and administration. The act was a response to the Company’s mismanagement and corruption, which had led to various issues, including the Bengal famine of 1770. Introduced by the British Parliament to assert greater control over the Company’s activities, the Regulation Act of 1773 led to the establishment of the first Supreme Court in Calcutta, headed by a Chief Justice and three other judges. This court was tasked with overseeing the legal affairs in the region, ensuring fair trials, and combating corruption.
The Regulating Act of 1773 marks a crucial milestone in the history of British India, as it laid the foundation for a centralized administrative system. Enacted by the British Parliament, this act aimed to regulate the activities of the British East India Company, which had grown increasingly powerful and needed oversight to curb its excesses.
Provision for the Act
- Introduction of the Governor-General of Bengal: The role of the Governor of Bengal was changed to the Governor of the Presidency of Fort William, also known as the Governor-General of Bengal. Lord Warren Hastings was the first to hold this title.
- Creation of an Executive Council to Help the Governor-General: A council of four members was formed to assist the Governor-General.
- Governors of Bombay and Madras made subordinate to the Governor-General of Bengal: The Governors of Bombay and Madras were placed under the authority of the Governor-General of Bengal, making the latter the highest authority.
- Establishment of the Supreme Court in Calcutta: In 1774, the Supreme Court of Judicature at Fort William was established in Calcutta with one Chief Justice and three other judges. This court had jurisdiction over areas in the Bombay, Madras, and Bengal Presidencies.
- Measures to Combat Corruption: The act prohibited company employees from participating in private trade or accepting gifts or bribes from locals. Directors of the company were elected for five-year terms, with one-fourth of them retiring each year. Re-election was not allowed.
Development by the Act
The enactment made significant changes in the judiciary system of the country, which was seen as a significant step. It changed the structure of the Court of Directors (COD) and recognized the political and administrative functions of the company. It also established the foundation of central administration and created the Supreme Court in Calcutta, which regulated the judiciary to some extent. Additionally, for the first time, learned judges from England were appointed to the Supreme Court in India.
Drawbacks of the Act
- Governor-General’s Limited Authority: The Act removed the Governor-General’s ability to veto decisions, leading to him being often outvoted by his council members.
- Weakened Local Administrations: The concentration of power in the Governor-General weakened the authority of governors in Bombay and Madras, resulting in ineffective governance and corruption.
- Unclear Powers of the Supreme Court: The Act did not clearly define the powers and jurisdiction of the Supreme Court at Fort William, causing confusion and conflicts between the Governor-General and the court.
- Neglect of Indian Interests: The Act overlooked the concerns of the Indian population who paid taxes to the East India Company, ignoring their needs.
- Ineffective Parliamentary Oversight: The Act did not empower Parliament to effectively oversee the Governor-General’s reports, which could have hindered transparency and accountability in governance.
The Regulating Act introduced a central administrative system controlled by Parliament, along with the establishment of a Supreme Court as the highest judicial authority. It also showed that the central government would be controlled by Parliament, with decisions made by majority rule.
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