Q2. What were the steps taken by the company after attaining the diwani Rights? Class 8
Answers
Answer:
the company became Diwan of Bengal province, still it was working as a trading company. It was not interested in setting up any regular system of assessment and collection of revenue. Their main aim was to increase revenue so that they have plenty of money to buy cotton and silk but the prices of the goods had increased so far. Now, as we have studied in previous chapters that earlier the company was dependent upon the inflow of gold and silver from Britain for purchasing goods in India but after 1765 things changed and now the revenue from Bengal was enough to purchase goods.
Explanation:
After the death of Aurangzeb, the Bengal nawabs asserted their power and autonomy. Through the eighteenth century, the conflicts between them and the East India Company intensified. The nawabs refused to grant the Company concessions, demanded large tributes, denied it the right to mint coins, and stopped it from extending its fortifications. They claimed that the Company was depriving the Bengal government of huge amounts of revenue, and also undermining their authority by refusing to pay taxes, writing disrespectful letters, and humiliating them and their officials.