Q. With reference to the difference between East India Company Rule and British Crown Rule in India, consider the following statements:
1. While local government did not have any financial powers under East India Company rule, they were given power to impose taxes under Crown rule.
2. While East India Company rule completely excluded Indians from civil services, Crown rule paved the way for their recruitment in administration.
Which of the statements given above is/are correct

[A] 1 only

[B] 2 only

[C] Both 1 and 2

[D] Neither 1 nor 2

Answer: D
Notes:

Exp) Option d is the correct answer. In 1858, the British Parliament passed the Government of India Act, transferring British power over India from the East India Company.

Statement 1 is incorrect. The local government were not completely excluded from exercising governance under East India Company rule. For example: The Charter Act of 1813 authorised the Local Governments in India to impose taxes on persons. Lord Ripon brought the Resolution of 1882, which gave Indians the right to local self-government. The scheme of local self-government would develop the municipal institutions which had been under the direct control of the British Crown.

Statement 2 is incorrect. The Charter Act of 1853 introduced an open competition system of selection and recruitment of civil servants. The covenanted civil service was, thus, thrown open to the Indians also. Thus, Indians were brought into administration under East India Company rule itself. After 1886 the Civil service came to be called the Imperial Civil Service. In 1886, the Aitchison Commission recommended that Indians also get employed in public service.

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