Difference between board of control and court of directors
Answers
East India Company firstly came to india for the sole purpose of trade but as the time goes it's policies changes. Now they want full autonomy over the trade hence they required to control the region and hence they started their carrier as territorial power in India.
After the battle of plassy the area under control was big hence they were required to set up an authority to have control over there. Thus a series of acts, beginning from regulating act 1773, were passed to regulate the affairs of the company.
Company affairs were controlled by the court of directors consisting 24 member panel. They were elected by the shareholders.
To clear the defects of 1773 regulating act, Pits India act was passed in 1784 which divides the company's political and administrative powers. It resulted in dual control or joint government in India by Crown in Great Britain and the British East India Company, with crown having ultimate authority. With this act, East India Company’s political functions were differentiated from its commercial activities for the first time.
For the purpose of Joint Government, a Board of Commissioners for the Affairs of India called Board of Controlwas created. This board was made of six people viz. the Chancellor of the Exchequer, the Secretary of State, and four Privy Councillors nominated by the King. The Secretary of the State was entitled as the President of the Board of Control. This Board of control was empowered to control all matters of civil or military government or revenues. The board was given full access to the company’s records. It had the powers to send Governors to India and full authority to alter them.
i.e. political powers were with board of control and ultimately with british government while commercial powers were with council of directors i.e. with company itself.