Legal and Constitutional History
EAST INDIA COMPANY
1. At the end of the 15th century some European nations came to India as trading
merchants. In year 1498, Vasco Da Gama, a Portuguese, discovered the passage to
India round the Cape of Good Hope and he landed at Calicut on the Malabar Coast.
2. The Dutch were the first in this field and English merchants followed them. The
Danes came next but they were few in the number.
3. The first Englishman to set foot on the Indian soil was Thomas Stephens. He set
sail to India from Lisbon on the 4th April, 1579 and reached Goa in October 1579.
4. Though the French earlier voyages to India, the foundation of French Trade
were laid by Colbert only in the middle of the seventeenth century. The purely
commercial attitude of foreign traders was suited to the conditions then prevailing
in India. But with the weakening of the Mughal power in the 18th century.
5. All they made their own kingdom and fought the war for dominion. The English
East India Company finally emerged victorious and developed its area of influence
and finally established its empire in India.
CHARTER OF 1600
EAST INDIA COMPANY
1. The English came to India in 1601 as a “body of trading merchants” on 31st
December, 1600 queen Elizabeth I granted Charter to the Company which
incorporated the London East India Company “to trade into from the East Indies,
in the countries and parts of Asia and Africa for a period of fifteen years subject to
a power of determination of two years notice if trade was found unprofitable”.
2. The charter of 1600 had been passed by British Queen Elizabeth-I on dated 31
Dec. 1600. In this Charter included the name of corporation, size, constitution,
rights and liabilities.
3. Name- The Governor and Company of Merchants Trading into the East
Indies. Thus the company became a juristic person with exclusive privilege of
trade with the East Indies.
4. The same Charter further granted legislative power to the Company “to make by
laws, ordinances etc. for the good government of company and its servants and to
punish offences against them by fine or imprisonment according to the laws
statutes and customs of the Realm.
5. Duration of Company:
i) The 15 years was given to this company for trade.
ii) Meanwhile the company is running in the loss then the British Govt. will
withdraw legal recognition and gaining profit that can be extended 15 year more.
6. But in year 1609 the Company obtained the extension benefit and some other
facility availed also.
7. Territorial extension of trade- by this Charter company was allowed to trade
from cape good hope to bay of Magellan, India, Africa, Asia, America, etc
8. Monopoly of Company- if any person started or start the trade without prior
permission Company as well as Queen will be punished with fine, imprisonment,
forfeiture of ship and goods or same punishment as queen so think fit.
9. Management and administration- Company consisted with 24 share-holders,
court of directors and Governor. The Court of Directors misuses the post and
unexpected performance the majority share-holders could remove him.
10. This east India Company had become the legal personality and enabled to keep
the common seal and its use.
11. Right making law-
i) The company was permitted to make general laws. It was first time where any
non-Governmental body authorized to make laws.
Ii) The company was allowed by Charter that it could give simple imprisonment
fine and stroke and physical punishment for maintaining the law and orders of
company.
12. But Company was prohibited to make laws on following cases:
i) Murder, treason and dacoits
ii) Company made laws must be justifiable and reasonable
iii) Company made laws will be not inconsistent with parliamentary laws, orders of
British Empire, customs and usages.
13. Capital of Company-
i) Total capital of Company was £75373.
ii) Cost of ship £39771
iii) Cost of materials £6860
iv) Cost of other items £28742
14. On 31st May 1609 James I granted a fresh charter to Company which
continued its privileges and perpetuity, subject to proviso that they could be
withdrawn after three years notice.
15. The Company was also authorized to continue the enjoyment of all its
privileges, powers and rights which were earlier granted to by the Queen Elizabeth
under the Charter of 1600. Later on 14th December 1615 the King authorized the
Company to issue such commission to its Captain subject to one condition that in
case of capital offence, e.g., willful murder and mutiny, a jury of 12 servants of
Company will give the verdict.
Sir Thomas Roe, Ambassador of James I, succeeded in gaining the Emperor's
favor and the English Company entered into a treaty with the Mughal Emperor.
The Mughal Emperor granted the right of self-government to the English. This
treaty proved a turning point in the legal history of India as the English Company
secured various privileges from the Mughal Emperor. It
provided:
(i) That the disputes amongst Company's servant will be regulated by their own
tribunals.
(ii) That the English people will enjoy their own religion and laws in the
administration of Company.
(iii) That the local native authorities will settle such disputed cases in which
Englishmen and Hindus or Muslims were the parties.
(iv) That the Mughal Governor or Qazi of the relevant place will protect the
English people from all sorts of oppression and injury. The President and members
of his Council at the Surat Factory were working as executive officers of the
Company. They were also having judicial authority over English people as the
Indian Emperor allowed them to be governed by their own laws.
CHARTER OF 1661
The Company spent 60 years of trade in India and facing of problem control
over that the Englishmen who were not the workers of company. The Company’s
trade was growing continuously in India. Apart from this company was taking
interest in political conflicts and took benefits of internal rebels and splitting. The
British King Charles II realized the weak condition of Indian rulers.
The income of the Company was very beneficial to British fund and it was
necessary to give extra facilities. The growth of income was depended on the legal
adjudication system. With view of all things the Charter of 1661 was issued on
third April, 1661. So, that it was called the judicial Charter. The Charter of 1600
become a milestone and it was first step to establish the Judicial Court in British
India. This Charter entrusted law making power into the Company.
THE MAIN FEATURES OF CHARTER OF 1661
1. Right to Administration.-
i) The Charter empowered to the Company to administrate over the Fort, Colonies
and cities. If it is expedient to maintain the administration could fought the war
with Indian local King and could make the peace treaty.
ii) Company was authorized for that if any person who interferes in the trade
monopoly of Company be sent to Britain for starting litigation.
2. Appointment of Officer:
i) Company was authorized to appoint the Governor and officers for judicial
administration over all subjects as well as workers of Company.
ii)Every person equally punished for the breach of law and orders of Company.
3. . Security. –
i) Company was enabled by this Charter that it could keep the armed forces,
weapons, and fighters ship for itself security.
ii) Company could keep the commander and other officers who were suitable for
Governor and his Council and they were convenience for trading purposes.
4. Judicial Administration.- Following rights were given to Governor and his
Council: That they could adjudicate and execute accordance with the English law
in cases which is there under:
a) Cases concerned with company,
b) Matters within the limits of Company, and
c) All the cases of civil and criminal nature.
5. The direction was given by this Charter that the governor and his Council will
apply the English law in all cases. Those Indian who were residing in their colonies
the also will be governed by this English law. It was very arbitrary compliance of
English law and orders of upon the Indians. That was very undesirable.
6. Punishment. –
i) The Charter of 1600 provided very simple punishment. But the Charter of 1661
enabled to Governor and his Council to penalize with the punishment of hanging in
the heinous crime.
ii) Wherever the Governor and his Council was not constituted the accused was
sent for nearby Governor and his Council or sent to Britain for trial
