COMPANY, 
that it became necessary, even for the sake 
of public tranquillity, to unite them : this 
was partly effected in 1702, and in 1708 the 
two Companies were, by act [of parliament, 
perfectly consolidated under their present 
title of the United Company of Merchants 
of Enitland trading to the East Indies. On 
the extension of the term of their exclusive 
trade to three years notice after Lady Day 
1726, they lent to government tlie further 
sum of 1,200,0001. widiout receiving any 
additional interest, and as it was necessary 
to raise this sum by the sale of new stock, 
the capital of the company thus became 
3,200,0001. 
In 1712 the term of the company’s ex- 
clusive trade was extended to three years 
notice after Lady Day 1733 ; which by a 
subsequent agreement was prolonged to 
1766 ; and again, to three years notice after 
Lady Day 1780, with a provision, tliat if 
their exclusive privileges should be then de- 
termined, by the fe-payment of all sums 
wliich they had lent to government, with 
all arrears of interest, the Company should 
still remain a corporation for ever, and en- 
joy the East India trade in common with 
all other subjects. 
The interference of the Company, about 
the year 1750, in the contentions between 
tome of the native princes, ted to the ac- 
quirement of considerable territories, and 
laid the foundation of the extensive politi- 
cal authority which the Company now 
possess, and which comprehends dominions 
of greater extent than three times the 
area of tlie united kingdoms of Great Bri- 
tain and Ireland. 
On an average of 16 years preceding 
1757, at which time the Company derived 
little assistance from territorial revenues, 
the annual sales of their imports amounted 
to about 2,055,0001. ; and for the same pe- 
riod their exported goods and stores 
amounted annually at their prime cost, to 
238,0001. ; the bullion exported to 690,0001. ; 
and they paid in discharge of bills of ex- 
change 190,0001. During the succeeding 
ten years the sales of imports became in- 
creased to 2,150,0001. annually on the ave- 
rage tlie quantity of bullion exported was 
reduced to about 120,0001. per annum, but 
tlie exports in goods and stores, and the 
money raised by bills of exchange were in- 
creased in a greater ratio compared with 
the returns from abroad. From 1767 to 
1777 tlie export of goods was 490,0001. ; in 
bullion about 1 10,0001. ; the suras raised 
bv bills 458,0001. per annum, and by tlie 
aid afforded from the revenues tlie invest- 
ments were increased so as to produce 
about 3,300,000 per annum ; the afiairs of 
the Company during this period were how- 
ever far from being in a flourishing si- 
tuation ; they were under the necessity of 
reducing theii- dividend, and of applying to 
parliament for assistance ; but these dif- 
ficulties being removed, the dividend, in 
1778, was raised again to 8 per cent. 
In the seven years ending with 1784, tlie 
average sales of the imports of the Com- 
pany, notwithstanding the expensive war 
in which they were engaged, fell off in the 
proportion only of about 200,0001. annually ; 
the export in bullion was for that period 
■ very trifling, but the goods and stores ex- 
ported were increased to about half a mil- 
lion. The termination of the war left the 
Company’s affairs both at home and abroad 
in great derangement, and the discussions 
which followed produced a general con- 
viction that some new aiTangement was 
necessai’y for the future government of 
their extensive territorial acquisitions. The 
principal measure adopted was the esta- 
blishment of a board of control, com- 
posed of a certain number of commissioners 
appointed by the king, and removeable at 
his pleasure. This board was authorised 
to check, superintend, and control, the ci- 
vil and military government and revenues 
of the Company, and to inspect the dis- 
patches transmitted by the Director's to the 
different presidencies. The appointment 
of the Governor-general, President, or Coun- 
sellor in tlie different presidencies was 
made subject to the approbation and reeal 
of his Majesty ; and a tribunal was created 
for the trial of Indian delinquents. Some 
further regulations were adopted in 1786, 
the chief of which were, bestowing on the 
Governor-general of India, tlie high prero- 
gative of deciding in opposition to the 
sense of the majority of the council ; and 
uniting the offices of Commander in Chief 
and Governor General in the same person. 
The Company were empowered to increase 
their capital, by creating 800,0001. new 
stock, for which they obtained 1,240,0001. 
at the rate of 153 per cent. ; and in 1789 
they were authorised to add a million to 
their capital, which was effected at the 
rate of 174 per cent, and preference was 
given to such persons as were stockholders 
at the time of subscription. Their an- 
nual dividend at this time was 8 per cent, 
and continued at this rate till 1793, when, 
in pursuance of an agreement with govern- 
