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1803
1798
1799
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WELLESLEY’S SUBSIDIARY ALLIANCE SYSTEM:
Indian states was surrender its external relations to
the company administration
Under the Subsidiary Alliance system the ruler of
the allying Indian state was compelled to accept
the permanent stationing of British force within
his territory and to pay a contributory for its
maintenance.
The states were to accept a British resident at its
headquarter.
Nizam of Hyderabad joined in system in 1798,
Mysore in 1799.
Nawab of Awad forced to sign in subsidiary system
in 1801.
By 1803, English forces defeated Maratha
Peshwas and signed on subsidiary system.
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1813 Charter Act
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• The Act of 1813 renewed the charter of the
East India Company for 20 years.
• Trade was thrown open to all British
subjects and the company lost its trade
monopoly.
• The Indian administration was asked to
maintain separate accounts for its
commercial and political activities.
• The Act marks the beginning of an
ecclesiastical establishment in India for
missionaries were now permitted to settle in
the country.
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An educational policy was also initiated by the
grant of Rs one lakh out of the Company’s
Indian revenues for the encouragement of
education, literature and science.
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Reasons behind reforms of 1833
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Codification of Indian Law
• Various charters which issued from 1601 to 1693
were purely of a commercial nature empowering
the company to control its employees by framing
rule and regulations.