Q3. The Regulating Act of 1773 was introduced by the British government with the aim of eradicating
wrongdoings and atrocities committed in the past by the East India Company.
REASONS BEHIND THE ACT; The wealth of servants of the company was increasing but the overall income of
the company was decreasing. The servants of the company used to make good amount of money in India
and then used come back to England to lead a costly and splendid life. This created the start of
discontentment in British people's mind. Furthermore, the British parliament was concerned about giving
administlative powers to the servants of the company who took no interest in the welfare of the nation but
were only concerned about their economic benefits. Due to all these reasons the Government of British
established two committees. One was the Select Committee and other was the Secret Committee. After all
this, finally The Regulating Act, 1773 was passed.
AIM OF REGULATING ACT OF 1773: It came into force on 21 June, 1773. The main goal of the Act was to put
right the wrongdoings, brutality and ill-treatment done by workers of the company in India. This Act also
aimed to improve and refine the East India's Company constitution and its government in India. The main
features of this Act were as follows:
1. Governor General and Council: Instead of a governor and counsel the government established Governor
General and counsel which consisted of four councillors and appointed this body at Calcutta. All the decisions
of the counsel were taken by majority this was done to ensure that there is no arbitrariness. But in case of division of votes the decision of governor general was taken and if governor general was not present
then the vote of senior most councilor decided the matter.
2. Authority Of The Council: This new body was needed to provide all the information concerning the
interest, commerce and governance of the company. It regulated all the matters concerning the military and
civil subjects. It had the responsibilities to manage and govern all the acquired territories and also looked
into the subject of revenues for Calcutta and other provinces like Orissa, Bengal and Bihar.
3. Management Of Madras And Bombay: The governor general and council had the authority to control the
decisions of the government of Madras and Bombay and it used to supervise their decisions. These two
governments were under an obligation to forward all the information concerning revenues, authority, profit
and matters concerning the company. The government of Madras and Bombay cannot sign any treaty of
peace or declare any kind of war with any other Indian princely states without the prior consent of the
Governor General and council.
4. Powers Of The Council Concerning Subject Of Legislature: The newly established body had the freedom to
make laws, pass orders or make rules that promoted good of the society. They had the power to implement
such management ideas that they thought would play a great role in efficient management of Calcutta. But
to avoid misuse of such powers the act came up with certain conditions to regulate these powers. According
to these conditions, the laws made by the body should be in consonance with the laws of England and not
contradict it in any case. The body of the governor general and the council were required to hand on the
copies of all rules, laws and regulations to the secretary of state in England. The crown had the power to
dismiss them too but if no action had been taken by it till two years then the law was considered to be valid.