The first war with the French was merely an incident in the greater contest in Europe. The second war had its origin in Indian politics, while England and France were at peace. The easy success of the French arms had Clive. inspired Dupleix with the ambition of founding a French empire in India, under the shadow of the existing Mahommedan powers. Disputed successions at Hyderabad and at Arcot supplied his opportunity. On both thrones he placed nominees of his own, and for a short time posed as the supreme arbiter of the entire south. In boldness of conception, and in knowledge of Oriental diplomacy, Dupleix has had probably no rival. But he was no soldier, and he was destined in that sphere to encounter the “heaven-born genius” of Clive. For the British of Madras, under the instinct of self-preservation, were compelled to maintain the cause of another candidate to the throne of Arcot in opposition to the nominee of Dupleix. This candidate was Mahommed Ali, afterwards known in history as Wala-jah. The war that then ensued between the French and British, each with their native allies, has been exhaustively described in the pages of Orme. The one incident that stands out conspicuously is the capture and subsequent defence of Arcot by Clive in 1751. This heroic feat, even more than the battle of Plassey, established the reputation of the British for valour throughout India. Shortly afterwards Clive returned to England in ill-health, but the war continued fitfully for many years. On the whole, British Influence predominated in the Carnatic, and their candidate, Mahommed Ali, maintained his position at Arcot. But the French were no less supreme in the Deccan, whence they were able to take possession of the coast tract called “the Northern Circars.” The final struggle was postponed until 1760, when Colonel (afterwards Sir Eyre) Coote won the decisive victory of Wandiwash over the French general Lally, and proceeded to invest Pondicherry, which was starved into capitulation in January 1761. A few months later the hill-fortress of Gingee (Chenji) also surrendered. In the words of Orme, “That day terminated the long hostilities between the two rival European powers in Coromandel, and left not a single ensign of the French nation avowed by the authority of its Government in any part of India.”

Meanwhile the interest of history shifts with Clive to Bengal.

At the time of Aurangzeb’s death in 1707 the nawab or governor of Bengal was Murshid Kuli Khan, known also as Jafar Khan. By birth a Brahman, and brought up as a slave in Persia, he united the administrative Black Hole of Calcutta. ability of a Hindu to the fanaticism of a renegade. Hitherto the capital of Bengal had been at Dacca on the eastern frontier of the empire, whence the piratical attacks of the Portuguese and of the Arakanese or Mughs could be most easily checked. Murshid Kuli Khan transferred his residence to Murshidabad, in the neighbourhood of Cossimbazar, the river port of all the Ganges trade. The British, the French and the Dutch had each factories at Cossimbazar, as well as at Dacca, Patna and Malda. But Calcutta was the headquarters of the British, Chandernagore of the French, and Chinsura of the Dutch, all three towns being situated close to each other in the lower reaches of the Hugli, where the river is navigable for large ships. Murshid Kuli Khan ruled over Bengal prosperously for twenty-one years, and left his power to a son-in-law and a grandson. The hereditary succession was broken in 1740 by Ali Vardi Khan, who was the last of the great nawabs of Bengal. In his days the Mahratta horsemen began to ravage the country, and the British at Calcutta obtained permission to erect an earth-work, which is known to the present day as the Mahratta ditch. Ali Vardi Khan died in 1756, and was succeeded by his grandson, Suraj-ud-Dowlah, a youth of only nineteen years, whose ungovernable temper led to a rupture with the British within two months after his accession. In pursuit of one of his own family who had escaped from his vengeance, he marched upon Calcutta with a large army. Many of the British fled down the river in their ships. The remainder surrendered after a feeble resistance, and were thrown as prisoners into the “black hole” or military jail of Fort William, a room 18 ft. by 14 ft. 10 in. in size, with only two small windows barred with iron. It was the month of June, in which the tropical heat of Calcutta is most oppressive. When the door of the prison was opened in the morning, only twenty-three persons out of one hundred and forty-six were found alive.

The news of this disaster fortunately found Clive returned to Madras, where also was a squadron of king’s ships under Admiral Watson. Clive and Watson promptly sailed to the mouth of the Ganges with all the troops that Battle of Plassey. could be got together. Calcutta was recovered with little fighting, and the nawab consented to a peace which restored to the company all their privileges, and gave them compensation for their losses of property. It is possible that matters might have ended here if a fresh cause of hostilities had not suddenly arisen. War had just been declared between the British and French in Europe, and Clive, following the traditions of his early warfare in the Carnatic, attacked and captured Chandernagore. Suraj-ud-Dowlah, exasperated by this breach of neutrality within his own dominions, took the side of the French. But Clive, again acting upon the policy he had learned from Dupleix, had provided himself with a rival candidate to the throne. Undaunted, he marched out to the battlefield of Plassey (Palasi), at the head of about 900 Europeans and 2000 sepoys, with 8 pieces of artillery. The Mahommedan army is said to have consisted of 35,000 foot, 15,000 horse and 50 pieces of cannon. But there was a traitor in the Mahommedan camp in the person of Mir Jafar, who had married a sister of the late nawab, Ali Vardi Khan. The battle was short but decisive. After a few rounds of artillery fire, Suraj-ud-Dowlah fled, and the road to Murshidabad was left open.

The battle of Plassey was fought on the 23rd of June 1757, an anniversary afterwards remembered when the mutiny was at its height in 1857. History has agreed to adopt this date as the beginning of the British empire in the East; but the immediate results of the victory were comparatively small, and several more hard-won fights were fought before even the Bengalis would admit the superiority of the British arms. For the moment, however, all opposition was at an end. Clive, again following in the steps of Dupleix, placed his nominee, Mir Jafar, upon the masnad at Murshidabad, being careful to obtain a patent of investiture from the Mogul court. Enormous sums were exacted from Mir Jafar as the price of his elevation. The company claimed 10,000,000 rupees as compensation for losses; for the British, the Armenian and the Indian inhabitants of Calcutta there were demanded the sums of 5,000,000, 2,000,000 and 1,000,000 rupees; for the squadron 2,500,000 rupees, and an equal sum for the army. The members of the council received the following amounts: Mr Drake, the governor, and Colonel Clive 280,000 rupees each; and Mr Becher, Mr Watts and Major Kilpatrick 240,000 rupees each. The whole amounted to £2,340,000. The British, deluded by their avarice, still cherished extravagant ideas of Indian wealth; nor would they listen to the unwelcome truth. But it was found that there were no funds in the treasury to satisfy their inordinate demands, and they were obliged to be contented with one-half the stipulated sums, which, after many difficulties, were paid in specie and in jewels, with the exception of 584,905 rupees. The shares of the council were, however, paid in full. At the same time the nawab made a grant to the company of the zamindari rights over an extensive tract of country round Calcutta, now known as the district of the Twenty-four Parganas. The area of this tract was about 882 sq. m., and it paid a revenue or quit rent of about £23,000. The gross rental at first payable to the company was £53,000, but within a period of ten years it had risen to £146,000. Originally the company possessed only the zamindari rights, i.e. revenue jurisdiction. The superior lordship, or right to receive the quit rent, remained with the nawab; but in 1759 this also was parted with by the nawab in favour of Clive, who thus became the landlord of his own masters, the company. At that time also Clive was enrolled among the nobility of the Mogul empire, with the rank of commander of 6000 foot and 5000 horse. Clive’s jagir, as it was called, subsequently became a matter of inquiry in England, and on his death it passed to the company, thus merging the zamindari in the proprietary rights.

In 1758 Clive was appointed by the court of directors to be governor of all the company’s settlements in Bengal. From two quarters troubles threatened, which perhaps Clive alone was capable of overcoming. On the west the shahzada or imperial prince, known afterwards as the emperor Shah Alam, with a mixed army of Afghans and Mahrattas, and supported by the nawab wazir of Oudh, was advancing his own claims to the province of Bengal. In the south the influence of the French under Lally and Bussy was overshadowing the British at Madras. But the name of Clive exercised a decisive effect in both directions. Mir Jafar was anxious to buy off the shahzada, who had already invested Patna. But Clive in person marched to the rescue, with an army of only 450 Europeans and 2500 sepoys, and the Mogul army dispersed without striking a blow. In the same year Clive despatched a force southwards under Colonel Forde, which captured Masulipatam from the French, and permanently established British influence throughout the Northern Circars, and at the court of Hyderabad. He next attacked the Dutch, the sole European nation that might yet be a formidable rival to the English. He defeated them by both land and water; and from that time their settlement at Chinsura existed only on sufferance.

From 1760 to 1765, while Clive was at home, the history of the British in Bengal contains little that is creditable. Clive had left behind him no system of government, but merely the tradition that unlimited sums of money Massacre of Patna. might be extracted from the natives by the mere terror of the British name. In 1761 it was found expedient and profitable to dethrone Mir Jafar, the nawab of Murshidabad, and substitute his son-in-law, Mir Kasim, in his place. On that occasion, besides private donations, the British received a grant of the three districts of Burdwan, Midnapur and Chittagong, estimated to yield a net revenue of half a million sterling. But Mir Kasim proved to possess a will of his own, and to cherish dreams of independence. He retired from Murshidabad to Monghyr, a strong position on the Ganges, which commanded the only means of communication with Upper India. There he proceeded to organize an army, drilled and equipped after European models, and to carry on intrigues with the nawab wazir of Oudh. The company’s servants claimed the privilege of carrying on private trade throughout Bengal, free from inland dues and all other imposts. The assertion of this claim caused frequent affrays between the customs’ officers of the nawab and those traders who, whether falsely or not, represented that they were acting on behalf of the servants of the company. The nawab alleged that his civil authority was everywhere being set at nought. The majority of the council at Calcutta would not listen to his statements. The governor, Mr Vansittart, and Warren Hastings, then a junior member of council, attempted to effect some compromise. But the controversy had become too hot. The nawab’s officers fired upon a British boat, and forthwith all Bengal was in a blaze. A force of 2000 sepoys was cut to pieces at Patna, and about 200 Englishmen in various parts of the province fell into the hands of the Mahommedans, and were subsequently massacred. But as soon as regular warfare commenced Mir Kasim met with no more successes. His trained regiments were defeated in two pitched battles by Major Adams, at Gheria and at Udha-nala, and he himself took refuge with the nawab wazir of Oudh, who refused to deliver him up. This led to a prolongation of the war. Shah Alam, who had now succeeded his father as emperor, and Shuja-ud-Daula, the nawab wazir of Oudh, united their forces, and threatened Patna, which the British had recovered. A more formidable danger appeared in the British camp, in the form of the first sepoy mutiny. This was quelled by Major (afterwards Sir Hector) Munro, who ordered twenty-four of the ringleaders to be blown from guns, an old Mogul punishment. In 1764 Major Munro won the decisive battle of Buxar, which laid Oudh at the feet of the conquerors, and brought the Mogul emperor as a suppliant to the British camp.

Meanwhile the council at Calcutta had twice found the opportunity they desired of selling the government of Bengal to a new nawab. But in 1765 Clive (now Baron Clive of Plassey, in the peerage of Ireland) arrived at Calcutta, Clive’s reforms. as governor of Bengal for the second time, to settle the entire system of relations with the native powers. Two objects stand out conspicuously in his policy. First, he sought to acquire the substance, though not the name, of territorial power, by using the authority of the Mogul emperor for so much as he wished, and for no more; and, secondly, he desired to purify the company’s service by prohibiting illicit gains, and at the same time guaranteeing a reasonable remuneration from honest sources. In neither respect were the details of his plans carried out by his successors. But the beginning of the British administration of India dates from this second governorship of Clive, just as the origin of the British empire in India dates from his victory at Plassey. Clive’s first step was to hurry up from Calcutta to Allahabad, and there settle in person the fate of half northern India. Oudh was given back to the nawab wazir, on condition of his paying half a million sterling towards the expenses of the war. The provinces of Allahabad and Kora, forming the lower part of the Doab, were handed over to Shah Alam himself, who in his turn granted to the company the diwani or financial administration of Bengal, Behar and Orissa, together with the Northern Circars. A puppet nawab was still maintained at Murshidabad, who received an annual allowance of about half a million sterling; and half that amount was paid to the emperor as tribute from Bengal. Thus was constituted the dual system of government, by which the British received all the revenues and undertook to maintain an army for the defence of the frontier, while the criminal jurisdiction vested in the nawab. In Indian phraseology, the company was diwan and the nawab was nazim. As a matter of general administration, the actual collection of the revenues still remained for some years in the hands of native officials. In attempting to reorganize and purify the company’s service, Clive undertook a task yet more difficult than to partition the valley of the Ganges. The officers, civil and military alike, were all tainted with the common corruption. Their legal salaries were absolutely insignificant, but they had been permitted to augment them ten and a hundredfold by means of private trade and gifts from the native powers. Despite the united resistance of the civil servants, and an actual mutiny of two hundred military officers, Clive carried through his reforms. Both private trade and the receipt of presents were absolutely prohibited for the future, while a substantial increase of pay was provided out of the monopoly of salt.

Lord Clive quitted India for the third and last time in 1767. Between that date and the arrival of Warren Hastings in 1772 nothing of importance occurred in Bengal beyond the terrible famine of 1770, which is officially reported Warren Hastings. to have swept away one-third of the inhabitants. The dual system of government, however, established by Clive, had proved a failure. Warren Hastings, a tried servant of the company, distinguished alike for intelligence, for probity and for knowledge of oriental manners, was nominated governor by the court of directors, with express instructions to carry out a predetermined series of reforms. In their own words, the court had resolved to “stand forth as diwan, and to take upon themselves, by the agency of their own servants, the entire care and administration of the revenues.” In the execution of this plan, Hastings removed the exchequer from Murshidabad to Calcutta, and for the first time appointed European officers, under the now familiar title of collectors, to superintend the revenue collections and preside in the civil courts. The urgency of foreign affairs, and subsequently internal strife at the council table, hindered Hastings from developing farther the system of civil administration, a task finally accomplished by Lord Cornwallis.

Though Hastings always prided himself specially upon that reform, as well as upon the improvements he introduced into the collection of the revenues from salt and opium, his name will be remembered in history for the boldness First Governor-General. and success of his foreign policy. From 1772 to 1774 he was governor of Bengal; from 1774 to 1785 he was the first titular governor-general of India, presiding over a council nominated, like himself, not by the company, but by an act of parliament, known as the Regulating Act. In his domestic policy he was greatly hampered by the opposition of Sir Philip Francis; but, so far as regards external relations with Oudh, with the Mahrattas, and with Hyder Ali, he was generally able to compel assent to his own measures. His treatment of Oudh may here be passed over as not being material to the general history of India, while the personal aspects of his rule are discussed in a separate article (see [Hastings, Warren]). To explain his Mahratta policy, it will be necessary to give a short retrospective sketch of the history of that people.