CHAPTER I.

INTRODUCTORY OBSERVATIONS.

AFTER the close of the Pindarree and Mahratta war in 1820, a period of repose was anticipated; and it was expected that the subdued condition of every native power would ensure a state of tranquillity, which, combined with an increased territorial revenue and measures of economy, would enable the Indian Government to liquidate those debts, which a succession of wars, for more than half a century, had tended to accumulate. It is not necessary, for the object of this work, to enter into any detail of the events which prevented the immediate fulfilment of this expectation. The most important was the Burmese war, which, though it terminated successfully, increased the public burden by more than twelve millions. The siege of Bhurtpore created a large expenditure; and the whole northern and western frontiers of India, as well as the countries recently occupied by the British Government, remained for some years in too unsettled a state to admit of large reductions of our military

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establishments. These causes comlined, occasioned great financial difficulties. The Indian Government in England became every day more impatient, stating, truly, that without reductions were made to a very great extent, India, after all our enemies were vanquished, must prove a burden, instead of a resource to England. Orders of the most positive kind were dispatched to all the local governments in 1825, and were acted upon as far as those in charge thought actual circumstances would permit.

In 1827, Lord William Bentinck was appointed Governor-General, and the absolute necessity of the most rigid economy in all branches of the service was pressed on his adoption by his superiors in England. Their orders have been most fully carried into execution by this nobleman, who, pursuing a direct and undeviating path, has, in the accomplishment of this object, evinced a firmness of purpose, and an unshaken resolution, grounded on principles that do honour to his character; and which even those who may be at present irritated, from their interests or prospects being injured by the operation of the measures which he has considered it his duty to adopt, must, on reflection, approve.

The Governor-General, with a view to obtain aid in the application of his measures to every part of India, constituted two Finance Committees, one Civil and the other Military, composed of able and wellinformed officers of those branches from each Presidency. The Military Committee was early dissolved; but that composed of civil servants continued for two

years to examine the comparative statements of the different establishments, and to suggest reductions and reforms to the Supreme Government; who recommended them to the attention and adoption of the subordinate Presidencies of Madras and Bombay; but, from the constitution of the latter, it became their duty to decide upon the manner in which the required reduction could be best made: at the same time, it was expected they would adopt such further measures of economy as were suited to the country under their rule.

The territories of Bombay had been recently much increased. At the conclusion of the Pindarree and Mahratta war, in 1818, it extended over the greater part of the Deccan, the Conkans, Guzerat, Kattywar, and Cutch. A considerable part of these countries had not been above nine years under our rule; and, notwithstanding the able and active efforts of my predecessor, the Honourable Mountstuart Elphinstone, it had not been possible, without a hazard, which he was too wise to incur, to reduce the public expenditure to the low scale required; but he had effected as much, in compliance with the orders from England, as was prudent or safe, and had suggested further reductions, which were subsequently included in my measures.

The progress of the British power in India had given, at various periods, importance to each of the three British settlements in that quarter; but the acquisition of more extended territory, the richness of the soil, and a flourishing commerce, has, for a long period, made Bengal the first in consequence. That

settlement includes under its direct authority a population of sixty-nine millions, while Madras has only thirteen, and Bombay little more than seven millions. Calcutta is the seat of the Supreme Government, which, on all political and general subjects, exercises control and authority over the presidencies of Madras and Bombay between which and the superior settlement, distinctions in pay and allowances had long subsisted, arising less from increase of duties than from the greater resources of the countries in which public servants were employed. When, however, our possessions, in different parts of India, became extended and mixed more with each other, their civil administration was in a great degree assimilated, and they were more viewed, as they really were, parts of a great empire, which, to be well governed, required to be considered as a whole, and to have no distinction in its system except such as local circumstances, which referred to the character of the population or the extent of the labour and responsibility of public officers, required; but this subject will be more fully noticed when I treat of the finance of Bombay, which I shall after noticing the condition of the other branches of that govern

ment.

I assumed the station of Governor of Bombay on the 1st of November, 1827, and resigned it on the 1st of December, 1830. The circumstances which have been already stated, required that, during this short period, my attention should be chiefly directed to the improvement of the finance, through the revision of the public establishments of that presidency. My experience in