Charter Act of 1813:

Napoleon Bonaparte had put in place the Berlin decree of 1806 & Milan
Decree of 1807 forbade the import of British goods into European countries
allied with or dependent upon France, and installed the Continental System in
Europe.
These circumstances posed hardships to British traders, and they demanded
entry to the ports of Asia and dissolve the monopoly of the East India
Company. But the East India Company clamored that its political authority
and commercial privileges cannot be separated. The controversy was later
resolved by allowing all the British merchants to trade with India under a
strict license system.
The East India Company Act 1813, also known as the Charter Act of 1813,
was an Act of the Parliament of the United Kingdom which renewed the
charter issued to the British East India Company, and continued the
Companys rule in India.
Companys trade monopoly was continued for a further 20 years.The
Companys charter was next renewed by the Charter Act of 1833.
Provisions of the Act:

The Act expressly asserted the Crowns sovereignty over British India.The
charter act of 1813, for the first time explicitly defined the constitutional
position of the British territories in India.
This act regulated the companys territorial revenues and commercial
profits.The company debt was to be reduced and dividend was fixed @10.5%
per annum.
This act also empowered the local governments to impose taxes on the
persons subject to the jurisdiction of the Supreme Court.
The Companys commercial monopoly was ended, except for the tea trade
and the trade with China. Reflecting the growth of British power in India,
This act also made provisions to grant permission to the persons who wished
to go to India for promoting moral and religious improvements. (Christian
Missionaries)
The power of the provincial governments and courts in India over European
British subjects was also strengthened.

Financial provision was made to encourage a revival in Indian literature and

for the promotion of science.
There was also a provision that Company should invest Rs. 1 Lakh every year
on the education of Indians.
Lord Minto retired in 1813. He was succeeded by Lord Hastings also known as
Lord Moira.

Charter Act of 1813

By 1813 when renewal of the Companys charter was due there were
elaborate discussions about the justification of the commercial privileges
enjoyed by the company. The extent of the companys territories in India had
so much expanded that it was considered to be impossible for it to continue
both a commercial and political functionary. Englishmen demanded a share in
the trade with India in view of the new economic theories of laissez faire and
the continental system introduced by Napolean.The Englishmen demanded
the termination of the commercial monopoly of the company. The Act of 1813
renewed the charter of the East India Company for 20 years. The company
was deprived of its monopoly trade with India but she was to enjoy her
monopoly of trade with China for 20 years. Trade was thrown open to all
British subjects the company retaining only its monopoly over tea and the
china trade. While offering the companys right to the territorial possession
and revenues of India, the Act proclaimed the sovereignty of the crown over
them. The Indian administration was asked to maintain separate accounts for
its commercial and political activities.
The Directors kept their rights of patronage but all important appointment
were henceforth to be subject to the approval of the crown. The Act marks
the beginning of an ecclesiastical establishment in India for missionaries were
now permitted to settle in the country. An educational policy was also
initiated by the grant of Rs one lakh out of the Companys Indian revenues for
the encouragement of education, literature and science. Local governments
of India were given the right of levying taxes on their subjects and punishing
those not paying them.

THE CHARTER ACT, 1833

The Charter Act, 1833 was the result of certain changed circumstances both
in England and India. Policies of Warren Hastings and Wellesley created
expansion of territory; administrative work and it lead to felt necessity of
effective strong settlement. The laws in presidency town and Mofussil areas
were not uniform also a Enlightened section of Indian society demanded
reforms in educational sphere.

On other hand the Parliament reforms were effected in 1830 in England which
formed a new House of Commons with the ideals of liberalism, which felt that
it was preposterous to leave the political government in the hand of Joint
Stock Company. At the same time a move was initiated by Lord. T. B.
Macaulay and James Hill in England for the reformation of law of India.

According to H. Cowell Parliament was directed to three leading vices (defect)

in the process of Government of India.
1) Nature of Law and Regulation in India.
2) Ill defined authority.
3) The anomalous and conflicting Judicature.

This all circumstances, defects and conflicts lead to pass the Charter Act,
1833.

Main Provision of Charter Act, 1833

1) The company was allowed to continued territorial possession for period of
20 years i.e. from 1833 to 1853. The company was held in trust to the Crown.
2) Monopoly of East India Company to tread with India was brought to an end.
The Company was required to close commercial business and allowed,
political powers and administration.

3) All powers that had full complete and constantly to control, to replace
supersede or prevent all proceeding and Act of Governor-General-in-Council
were under the British Parliament.
4) All laws & regulations made in India should transfer to England laid before
both the houses these laws could be disallowed by the Court of Directors.
5) The Governor-General-in-Council was empowered to make laws and
regulation for all person or Court of British India.
6) The Council members were fixed, a 3 & 4th member known as law member
was added to the Council. Law member was not companys servant and has
to act only for legislative purpose.(Lord Macaulay was 1st Law member)
7) A provision was made for the appointment of the law Commission.(Lord
Macaulay was 1st President)
8) Provisions were made for the representation of natives & their Educational
Development.
9) All restrictions to European immigrants into India were removed.
10) The civil and military power were removed from the Company and its
entire control and super tend were vested in Governor-General-in-Council.
11) The Act also provided measures for the abolition of slavery trough out in
India.
12) Prior to 1833, laws made were called as regulation here after the laws
made to be called as Act.