The company Rule
Pitt’s India Act of 1794

The act acknowledged for the first time, the Company’s territories in India as ‘British possessions in India’. The British Government was given the supreme control over Company’s affairs and its administration in India. It led to the establishment of dual government through the court of directors who were required to supervise the commercial functions of the company and board of control who supervised the political affairs.

  • The act demarcated the Company's commercial and political functions of the company..

  •  It gave the Court of Directors control over commercial affairs while the Board of Control was established  to oversee political affairs. As a result, a system of dual governance was developed. It gave the Board of Control the authority to monitor and manage all civil and military government operations as well as revenue from all British possessions in  India.

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