The main objective of the 'Pitt's India Act' of 1784 was to:
Show answer & explanation
Correct answer: B
Explanation
Answer: Establish a dual system of control over the East India Company’s affairs by the British government.
Explanation —
The primary objective of Pitt's India Act, 1784, was to rectify the shortcomings of the Regulating Act of 1773 and to enhance the British government's control over the East India Company. This Act bifurcated the Company's commercial and political functions. A 'Board of Control' was established to manage political affairs, while commercial matters remained under the purview of the 'Court of Directors.' Thus, a 'dual system of governance' was introduced in India.
Additional Points —
Nomenclature: This Act was named after the then British Prime Minister, William Pitt 'the Younger.'
Significance: For the first time, the territories under the Company's control were designated as 'British Possessions in India.'
Transfer to the Crown: The Company's powers were directly transferred to the British Crown under the Act of 1858.
Potential Examination Questions and Answers —
Question: Under which Act was the 'Board of Control' established?
Answer: Pitt's India Act, 1784.
Question: Which Act first separated the commercial and political functions of the Company?
Answer: Pitt's India Act, 1784.