on of their own ftrength, operating with the immediate dread of power, on the one fide, and an impatient avidity, incompatible with true policy, on the other, could have induced the former to grant, or the latter to require, any participation in their revenues, until thofe debts were reduced to a moderate fize, and the true condition of the Company known.

The event has too fully juftified this opinion; and we have feen the Company, in the courfe of a very few years, brought to the brink of bankruptcy and ruin, in confequence of various mifmanagements of their fervants, various miftakes of the proprietors of that Company, and various errors of administration, and even of parliament. For though the revenues of Bengal and its dependencies are very great, the ftated and certain disbursements, exclufive of contingencies, are alfo very confiderable; of which the tribute to the Mogul, and the ftipends to the nominal nabob, his duan, and other great officers, amount to about one million fterling annually, befides the expences of collection. A great military force, of near 30,000 men, muft alfo be kept up as a matter of neceffity; and the civil eftablishments, from the nature and diftance of the countries, the temper and manners of the people, with other circumftances, muft of courfe run very high.

To this it may be added, that however great the opulence of Bengal might be, yet as it was not founded upon any inherent treasure in mines, but depended folely upon the labour and industry of the people, upon commerce, manufactures, and agriculture, it VOL. XVI.

cannot be fuppofed that it could long bear, the fending of between feven and eight hundred thousand pounds fterling of its capital ftock, annually out of the country, without a poffibility of its return. This was however the cafe at present, the tribute paid to the Mogul, and the fum to the government here, being to that amount. With this enormous wafte of its treasure, Bengal was alfo obliged to furnish the Company's inveftments for China in filver, at the fame time, that its ancient and abundant fources for that commodity from Europe, were very much diminished by the change of government and property. It appears then upon the whole, that with the best management and the greateft œconomy, the Company was not, with juftice to itself and its creditors, equal to the payment of that fum to government, to fay nothing of its increase of dividend.

It must however be acknowledged, that oeconomy was not practifed, and that through the rapacity and mifconduct of the Company's fervants, great diforders prevailed in the conduct of their affairs. It is faid, that expenfive wars had been wantonly entered into, and fhamefully conducted, to gratify the avarice and interested views of individuals. Vaft fums were alfo charged to have been lavished upon fortifications, which were either unneceffary, or of fuch an extent, that the number of troops requifite for their defence, would always be fufficient to command the field in that country. Such works are fre quently converted into jobs in all countries; but in this inftance, it is probable, they may be confidered merely as fuch.

[E]

Num

Numberless other grievous complaints were made, many of which, it is to be feared, were too well founded. Pernicious and oppreffive monopolies were established; and much wrong and oppreffion was practifed by individuals, in countries where the name of an European was fufficient to authorize any act of injuftice to the natives. It could not even be hoped, that courts and governments, any more than particular perfons, were undeferving of cenfure, at fuch a distance from any controul, and in a fituation, in which an immenfe fortune was a fure juftification of the means by which it was acquired.

It was to remedy fome of thofe evils, and to prevent others, that the three unfortunate gentlemen, who are too justly supposed to have perished on board the Aurora, were fent out in the year 1769, as fupervifors to India. The fate of these gentlemen, was undoubtedly one of the greatest misfortunes that, could have befallen the Company. They must have remedied many evils; and if it were admitted that they might have created fome, ftill the benefits would have been great; but in no inftance of fo much confequence, as in removing the pretences for that fatal interference, which, through the misconduct of its fervants, government has fince affumed in the affairs of the Company.

During this ftate of diforder and misconduct abroad, the Company was agitated by violent difputes. It was neceffary to communicate with government, to whom the non-payment of the four hundred thousand pounds annually, was to be accounted for, and where for

5

bearance, at leaft, if not,affiftance, was to be demanded. The directors, and a strong body of the proprietors, were in a continual state of hoftility. The former were charged with acting immediately under the influence of the court, to which, it was faid, they expofed the affairs, and facrificed the interefts of the Company; and indeed it appeared in fome inftances, that they had either been imposed upon themselves, by the ambiguous expreffions and conduct of the minifter, or that they joined in the deception of their conftituents.

Though the Company had been drawn into the hands of adminiftration, and their affairs under the cognizance of parliament, fo early as the year 1767, nothing had been done in all this time towards their regulation or fettlement, except the reftricting of their dividends, refcinding their acts, and the obtaining from them, without any vifible equivalent, immenfe fums of money, which were far beyond their abilities. No order was taken, conformably to the amazing change in their condition, for the regulation or government of their new acquifitions; nor no new powers of controul lodged in their hands, to counterballance the immenfe trufts which they were now under a neceffity of repofing in their fervants; nor to reftrain or prevent thofe evils which muft naturally attend the quick tranfition, from the management of a countinghoufe to the government of an empire.

While the many were furprized at this apparent inattention to matters of the utmost importance to the nation, some of those who were the most verfed in political mas

neuvres,

neuvres, pretended to foresee the confequences that have fince taken place, and argued, that fuch glaring diforders could not have been overlooked; that they were permitted, only to render the Company odious through the faults of its fervants; to fhew its incapability of governing fuch great poffeffions; and to prepare the nation for the changes that were to follow.

However this was, the mal-administration in India, with all its confequences, were fuffered to pafs without notice or obfervation; and we have already feen in the tranfactions of the year 1772, that though the affairs of the Company were evidently alluded to at the opening of the feffion, in the speech from the throne, they were nevertheless suffered to lie over till near its clofe, when a bill was brought in by the deputy-chairman, for enlarging the controuling powers of the Company with respect to their fervants in India. The bill came to nothing in that feffion. But a member, though in the king's fervice, not connected with miniftry, whether with or without their confent, at length awakened their attention to this object. This gave birth to the select committee, which was armed with full powers for all the purposes of enquiry.

The Company were now alarmed; and were not only apprehenfive of a rigorous enquiry; but were too fenfible from late experience, of the inefficacy of charters for their protection, in a contention. It was therefore propofed in the India-Houfe, at the end of that feflion of parliament, to fend out during the recefs, a new commifhon of fupervision, with full powers

for the regulation of all their affairs abroad. Some time was however neceffarily fpent in bringing this fcheme to maturity; it being not lefs difficult to agree upon the perfons who were to be appointed to an office of fuch great importance, than upon the extent of the powers with which they were to be furnifhed. At length, fix gentlemen were nominated for this purpofe; and a general officer of high rank and eftimation, who had commanded with great honour in the late war in America, confented to go out at the head of the fupervifion. The meeting of parliament how ever put an end to the defign. It was now generally known, that the affairs of the Company would form the principal object of the enfuing feffion; no other caufe could be affigned for its being opened before the holidays, and as adminiftration had no fhare in the appointment of the fupervifors, though the measure itfelf had been countenanced by them, it was eafy to foretell, that parliament would interpofe to prevent its being carried into execu tion.

The

The various refults of all the errors that had been committed, and the misconduct that had prevailed both at home and abroad, were now accumulated, and had appeared in their full force during the recefs of parliament. Company, with an empty treasury at home, had accepted bills from Bengal to an immenfe amount, which were now coming round in courfe of payment; they were at the fame time deeply in debt to thể Bank for cash borrowed, to the revenue for custom-houfe duties, and to the treasury, on the annual ftipulated payment, as well as on the

article

article of indemnification for teas, an experiment made in concurrence with government; but by which they were prodigious lofers. Though this state of their affairs might have been eafily foreseen by these who were at their head, nothing was done to prevent it; the dividend was raised to twelve and a half per cent. the annual tribute to government, accordingly continued, and the India bills, to the amount of 1,200,000l. wantonly, or carelessly accepted, without a due attention to the funds by which they were to be paid.

Thefe diftreffes took away all the means of defence, and threw the Company naked into the hands of administration. The directors were under a neceffity of entering into a negociation with government for a loan to extricate their affairs, at a time, when the moft hoftile meafures were, probably, in contemplation. The firft lord of the treafury, received thefe propofals with drynefs and referve. He referred them to parliament for fatif faction. Thus the crimes and mifdemeanors of their fervants, together with the envy and obloquy which attended their immenfe fortunes and conduct at home, became at length blended into one common and undiftinguished mafs, with the general ftate of the Company's affairs, their territorial and corporate rights, the caufes of their prefent diftreffes, and the recent application for borrowing money from the public.

The enquiries made by the felect committee, were principally directed to the meafures purfued, and the conduct of the Company's fervants in Bengal. The publication of the reports of this committee, excited a general indigna

tion, and furthered the confufion of ideas, and inflamed the heat of these paffions.

Such was in general the state of public affairs at the meeting of parliament. In the Nov. 26th: speech from the throne, it was obferved, that their private convenience would have been confulted by allowing a longer recefs from business, if fome very important parts of the public fervice had not required the immediate attention of parliament. It then fhowed, how much the commerce and revenues of the nation, as well as the private rights and interefts of a confiderable number of particular people, were interested in the maintenance of the credit and profperity of the Eaft-India Company. That upon information of the difficulties in which that Company appeared to be involved, it was determined to give them an early opportunity of informing themfelves fully of the true ftate of their affairs, and of making fuch provifions for the common benefit and fecurity of the various interests concerned, as fhould be found best adapted to the exigencies of the cafe.

Hopes were conceived, that the war which had fo long unhappily prevailed in a part of Europe, was drawing to a conclufion; and it was obferved, that though there was no probability of our being involved in it, the difcontinuance of thofe troubles would afford a fairer profpect of the duration of peace which, it was hoped, the alterations that had taken place in Europe, would not in their confequences affect. That as foreign powers had given the ftrongest affurances of their pacific difpofitions.

towards

towards this country, every attention fhould be paid to the prefervation of the public tranquillity, fo far as it was confiftent with the honour of the crown, and the interefts of the people. Great fatisfaction was expreffed, that the continuance of peace had afforded an opportunity of reducing the naval establishment; but it was concluded, that it would be agreed, that a confiderable ftrength at fea must be ever neceffary for preferving the reputation and power of thefe kingdoms. Strict economy was promifed with respect to the fupplies; and it was lamented, that the harveft had not afforded the relief that was hoped with respect to the dearnefs of corn; but it was fully underftood, and ftrongly recommended, that every thing which human wifdom was capable of devifing, would be done to remedy that evil.

The gentleman who moved for the addrefs in the Houfe of Commons, as well as the other who feconded the motion, expatiated largely on the enormous tranfgreffions of the Eaft-India Company, and defcribed their affairs, as being in the most ruinous, aud almoft irretrievable fituation. The minifter, however, faid, that the complicated union of the Company's fovereign and political powers, with their commercial affairs, had been attended with unforeseen confequences, which had involved them in fome confiderable difficulties, and had put the Court of Directors under a neceffity of applying to government for relief and affiftance; but he at the fame time declared, that from the clearest eftimate he was capable of making of the ftate of the Company, it ap

peared to him, that howevet closely preffed they might be by prefent exigencies, and embarraffed in money matters, they were, nevertheless, in point of internal strength and vigour, in full health.

He then made a motion, that for the better taking into confideration the affairs of the Company, a committee of fecrecy, confifting of thirteen perfons, to be chofen by ballot, fhould be appointed for that purpose. In fupport of this meafure, he obferved, that the prefent critically diftreffed ftate of the Company's affairs, demanded the moft immediate and effectual relief, which could not be so speedily procured in any other manner; and that it was to be hoped by this method, a great deal might be done towards the answering that defirable purpofe, even before the Chriftmas recefs. That this method would prevent the unneceffary expofure of the Company's affairs, and moft fecret and confidential tranfactions, to the public view; that it would be highly improper, as well as unfair and ungenerous, that they fhould fuffer any injury, in confequence of a fimple money tranfaction with the public; but that their affairs being thus laid open only to a few, it would neceffarily follow, that no undue advantage could be taken of fuch knowledge.

This mode of a private enquiry, and the powers to be lodged in the hands of fo fmall a number, was much objected to. It was faid, that the idea of a fecret committee was unconstitutional; and that it was a mode only allowable when criminal charges were made. That the parliamentary precedents went no further. That members balloted [E 3]

into