Causes of the Enactment of the Pitts India Act 1784 with Video

 Watch the supporting video:

Causes of the Enactment of the Act

The Indian problems were known to the Parliament for a long time. When William Pitt the Younger became the Prime Minister, he immediately addressed those problems. In the very first year of his tenure, he brought in the parliamentary legislation. There were many reasons which moved the Parliament to pass the legislation. The major reasons and causes are evaluated as follows.

1. Confusion in the Government of Bengal under the Company

The British Parliament had passed the Regulating Act in 1783 and the Indian Administration started its work under it. However, it became the cause of an abominable story in Anglo-Indian history. The Governor General of Bengal remained in conflict with his council. The council was dominated by three political persons from England out of a total of four who were councillors. The executive work of the Indian administration suffered due to their clashes with the Governor-General. The Presidencies were made subordinate to the Governor-General in Council. But, the Governors of the Presidencies did not care to seek directions from him and worked independently taking recourse to the plea of exigencies. The Supreme Court of Calcutta came in conflict with the local courts and the Governor-General and his council. The Supreme Court knew only English Law and that created numerous problems for Calcutta and London.

2. Corruption in the Government of India under the Company

The legislation of 1773 aimed at curbing the corruption in the British Indian Administration run by the Company officials. On this issue also a sordid account was received back in London. Most of the colleagues of the Governor-General in Council and officials of Presidencies were reported to have become fortune-hunters. Barwell, a Councillor in Bengal, was reportedly amassed a wealth of £80000 despite his spendthrift nature. Francis, a Councillor and Justice Impey were equally accused of accumulating huge wealth. In Presidencies, Governor Pigot of Madras received a gift £1200,000 from the Nawab of Carnatic. All such reports were received in the British Parliament with dismay and consternation, and could not remain dormant on this issue for a long time.

3. The Loss of American Colonies

Britain lost all her colonies in North America after the American War of Independence. The economy and trade of Britain suffered huge losses due to the American Revolution. Britain could not let it happen in India as India had more economic potential to cover up and compensate for her losses in America. India was the brightest jewel in the Crown of His Majesty, and the British statesmen directed their attention to preserve it.  Such a sentiment was echoed in the speeches of the Prime Minister Pitt the Younger in the Parliament. In short, the loss of American colonies urged the Parliament to focus on saving Indian possessions by constitutional measures.

4. Welfare of the Nation

British politicians like Edmund Burke, Henry Dundas, and William Pitt the Younger were shrewd politicians who fully understood the importance of trade in the creation of wealth for a nation even before Adam Smith had published his classic book The Wealth of Nations. They knew that trade with India had contributed to the wealth of their country. A company of Britain had acquired territorial possessions and a trade monopoly in India in tough competition with Dutch and French companies. Prime Minister Pitt stressed a need in Parliament to bring the activities of the Company and its administration under the control of the State. In addition to that, the British legislators were also concerned with the mishaps and mismanagement under the Regulating Act. The British sensibility did not allow them to tarnish their legal prestige. Therefore, the British Parliament was ready to legislate.

5. Constitutional Crises of 1782

The British Parliament started receiving complaints of maladministration in India soon after the Regulating Act was enforced. The legislative institution of Britain remained engrossed in European problems and troubles across the Atlantic Ocean. Finally, in 1781, the Parliament established a Select Committee and Secret Committee to enquire into the administration of justice in Bengal and the reasons for the war in Carnatic. The British Parliament received the reports of the Committees and passed injunctions against Warren Hastings, the Governor of Bengal and Hornby, the Governor of Madras. The Company was directed to recall their two officers but the Company refused. In the 18th century, the British were highly sensitive about the sanctity and prestige of their Parliament. It was a crisis situation when a Company formed under the laws of Britain resisted the directions of the Parliament. The Company did not recall its officers and Hastings continued as the Governor General in Council. The Parliament learned in 1782 that it did not have control over the Company and its affairs. In 1784, it took an opportunity to establish its authority over all the subjects of Britain, including the Company.

6. Financial Crises of the Company and its Representation to the Parliament

In 1784, the Company applied for financial relief from the British Parliament. The British Parliament used that opportunity to establish its control over the Company and its affairs. There was a detailed debate on every aspect relating to the Company and its affairs. The established brains of the times, like Fox, Burke, Henry Dundas, Lord North and William Pitt the Younger, laid threadbare the working of the Company in the Parliament. Finally, they came out with the India Act of 1784 to provide the remedy for the maladies of the Indian administration of the Company.

The Parliament debated on the Bills and a draft was moved first by Henry Dundas and then Fox in 1783. The Bill moved by Fox was even passed in the lower house. However, King George III dissolved the Parliament in 1783. William Pitt the Younger became the Prime Minister in 1784, and he moved the India Bill in 1784. It was passed in August 1784.

A Related Video. 

Kindly Watch