Regulating Act of 1773 – Polity UPSC Notes
Before 1773, the British East India Company was ruling Indian territories without much interference from the British government.
UPSC Notes: Regulating Act of 1773 Background: East India Company's Expansion : By the mid-18th century, the East India Company (EIC) had established itself as a powerful political and economic force in India after the Battle of Plassey (1757) and Battle of Buxar (1764). Financial Crisis : The EIC faced severe financial difficulties due to mismanagement, corruption, and the cost of wars. It sought a loan from the British government. Dual Government in Bengal : The EIC's administration in Bengal was marked by corruption and inefficiency under the dual governance system (Company and Nawab). Need for Control : The British Parliament wanted to regulate the EIC's activities to prevent exploitation and ensure accountability. Provisions of the Regulating Act 1773: Centralized Administration :
The Governor of Bengal was made the "Governor-General of Bengal" (Warren Hastings was the first). A council of four members was established to assist the Governor-General. Control Over Presidenc…