INSIGHT UPSC QUIZ

GS History Modern India
Q.

By which act East India Company’s political functions were differentiated from its commercial activities for the first time?

Explanation:
  • In a bid to rectify the defects of the Regulating Act of 1773, the British Parliament passed the Amending Act of 1781, also known as the Act of Settlement. The next important act was the Pitt’s India Act of 1784.

Features of the Act

  1. It distinguished between the commercial and political functions of the Company.
  2. It allowed the Court of Directors to manage the commercial affairs but created a new body called Board of Control to manage the political affairs. Thus, it established a system of double government.

Thus, Option B is Correct.

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