The Regulating Act of 1773, passed by the British Parliament, marked the first formal step to regulate the East India Company. Triggered by corruption, financial crisis, and famine in Bengal, it introduced centralized governance, judicial reforms, and parliamentary oversight. Though significant, the Act had key flaws, leading to the Amending Act of 1781.

BulletsIn

• First British law to regulate East India Company’s rule in India, passed in 1773.
• Triggered by Bengal famine, company debt, and misrule under dual governance system.
• Created post of Governor-General of Bengal with control over Bombay and Madras.
• Warren Hastings became first Governor-General; advised by a 4-member Council.
• Supreme Court set up at Fort William, Calcutta in 1774 with civil, criminal powers.
• Banned company officials from private trade and accepting local gifts.
• Required company to report revenue and military affairs to British government.
• Aimed to check corruption, promote accountability, and centralize administration.
• Jurisdiction conflicts arose between Governor-General and Supreme Court.
• Amending Act of 1781 fixed flaws—clarified powers, protected Indian laws, limited court reach.