Question

What are the disadvantages of Diwani System?

Answer 1

The Diwani Government of Clive has been criticized in various ways. It led to disastrous results. The administration in Bengal almost collapsed. Power was divorced from the responsibility. The British were in possession of power and money where as the Nawab had neither power nor money. He had only the responsibility of running the administration. The Nawab failed to manage the administration smoothly with a small annual grant of rupees 50 lakhs only. The company tried to improve its own lot by the revenue it collected from Bengal, Bihar and Orissa. The Nawab could not do any work of public utility due to paucity of fund. The Nawab also had no power to enforce law.

As a result lawlessness prevailed in most parts of Bengal. The cases of theft and rubbery increased by lips and bounds. The common people had to suffer a lot due to want of justice. They suffered to such an extent that they preferred even to leave their home and heart.

The condition of agriculture in Bengal gradually deteriorated under the Diwani Government of Clive. The power of collection of revenue rested in the hands of the company only. So, the Nawab could not make any provision like irrigation for the development of agriculture in Bengal. He also failed to advance loan to the needy farmers due to shortage of fund. The great famine of 1770 was an indirect outcome of the above difficulties.