Question

Which Act of British Parliament abolished the East India Company’s monopoly over trade in India ?

1. Regulating Act
2. Pitt’s India Act
3. Charter Act of 1813
4. None of the above

Answer 1

Correct Answer - Option 3 : Charter Act of 1813

The correct answer is Charter Act of 1813.

• Charter Act of 1813:
  • ​This Act asserted the Crown’s sovereignty over British possessions in India.
  • The company’s rule was extended to another 20 years.
  • Their trade monopoly was ended except for the trade in tea, opium, and with China.
  • It empowered the local governments to tax people subject to the jurisdiction of the Supreme Court.
  • The company’s dividend was fixed at 10.5%.
  • The Act gave more powers for the courts in India over European British subjects.

• Charter Act of 1833: The company’s trade links with China were also closed down.
  • The ending of the East India Company’s commercial activities and making it into the British Crown’s trustee in administering India.