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THE ENGLISH IN THE EAST.

A. D. 1585-1609.

Bussora to Ormuz. Here they were thrown into prison by the Portuguese, and then transmitted to Goa, where they were still confined; and, though at length released, they were so plundered and otherwise ill-used, that they fled from the town (1585). They went first to Bêlgâm, thence to Bêjapûr and Golconda, and then through Candêsh and Mâlwa to Agra, where one of them, Leader, a jeweller, remained in the service of the emperor. Thence they, or at least Fitch, the narrator, proceeded to Allahabad and Benâres, and went even to the confines of Bootân, north of Bengal. They visited the Portuguese settlement on the Hooghly, Orissa, and other places, Pegu, and Malacca, and thence proceeded to Cochin, Goa, and Ormuz, whence Fitch returned to England, in 1591, and published an account of his travels.

From Fitch's account it was quite clear that no steady trade could be carried on with India by this route; and, moreover, none of these circuitous modes of trading with the East would content the ardent spirit of British commerce. Accordingly, in 1589, divers merchants had presented a memorial to the Lords of Council, praying permission to send three ships and three pinnaces to India, in order to open a trade with those places in which the Portuguese had no settlements. The fate of this memorial is not known; but in 1591, three ships, under Captain Raymond, sailed for India. Ere, however, they reached the Cape, they had to send home one with the sick, Raymond's own vessel was lost in a tempest, and James Lancaster, in the third, having privateered for some time in the Indian seas against the Portuguese, and taken a good many ships, was wrecked, on his return, in the West Indies, and came home in a French privateer.

The boldness and success of the Dutch in 1595 excited the emulation of the English merchants. In 1599, a company was formed, with a stock of about 30,000l., in 101 shares, of from 100l. to 30007., with a committee of fifteen to manage its affairs. The adventurers, as the shareholders were named, applied to the queen for a warrant, engaging to abstain from all places possessed by Spain or Portugal. But the court, afraid of embroiling itself with Spain, hesitated, and the charter was not obtained till the following year. The court proposed that the chief command should be given to Sir Edward Michelbourne; the committee replied, that they were resolved not to employ any gentleman in any place of charge, as the very suspicion of such a thing would drive away a great number of the adventurers. The court gave way, and the chief command was given to Captain Lancaster.

The charter now granted constituted the adventurers a body politic, under the title of "The Governor and Company of Merchants of London trading to the East Indies." Their plan of management was by a chairman, and a committee of twenty-four, to be annually chosen. They were to trade to all places beyond the Cape of Good Hope and the Straits of Magellan not already possessed by states in amity with her Majesty. The charter, like all at the time, was exclusive, but the company had the power of granting licenses to trade to other British subjects. The charter was granted for fifteen years, but might be revoked at any time, if not found advantageous to the country, on giving a notice of two years.

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As many of the shareholders had not paid up, those who had were invited to be at the whole expense, and to share the whole profits of the voyage. A sum of 68,000l. was thus raised, and on the 2nd of May, 1601, Lancaster sailed from Torbay with four ships and a pinnace, the largest being of 600 tons, with a crew of 200 men. He was furnished with letters from the queen to the sovereigns of the different places to which he might come. The first port he came to in the East was Acheen, in Sumatra, where he formed a treaty of amity and commerce, and obtained permission to build a factory. Taking in there a cargo of pepper, he sailed for the Moluccas, but having captured a large Portuguese vessel in the straits of Malacca, and thus got all the goods he required, he sailed to Bantam, and having delivered his letters to the king, and left there some agents, he made sail for England, where he arrived in September, 1603.

In the following year the company sent out four ships, under Captain (afterwards Sir Henry) Middleton. They sailed to Bantam, where, while two remained to take in cargoes and one went to the Banda isles, Middleton himself sailed to the Moluccas. He there found a furious war raging between the kings of Ternate and Tidore, the former aided by the Dutch, the latter by the Portuguese. He also found that the Dutch were likely to prove determined enemies of the English in these regions, as they represented them to the king of Ternate as being nothing better than pirates. This voyage proved very profitable to the adventurers, but they were now threatened with a formidable rivalry; for the crown granted a license at this very time (1604) to Sir Edward Michelbourne and others, to trade to Cathaya, China, Japan, &c. This, however, proved to be more a piratical than a trading voyage; for Michelbourne took and plundered Japanese and Chinese, as well as Portuguese vessels, without making any attempts to trade.

In 1607, the company sent out three ships under Captains Keeling, Hawkins, and D. Middleton. They found the Dutch now busily engaged in reducing the native princes in the Moluccas, whence they had expelled the Portuguese, and they were refused by them permission to trade at Banda.

Hitherto the English Company had confined their commerce to the islands exclusively; but now, on being informed by their factors at Bantam and elsewhere that an advantageous trade might be carried on by conveying thither the calicoes and other cloths of India, they resolved to try to open a trade with the port of Surat in Cambay. In 1607, two large ships under Captain Sharpey were sent out for this purpose, but they separated in a storm off the Cape, and never rejoined, and Sharpey's own ship was wrecked and lost in the Gulf of Cambay. The other reached Sumatra, where she laid in a cargo; but she also was lost, on her return, on the coast of France, and only about 200 tons of pepper were saved.

In 1609, Sir Henry Middleton sailed with three ships, one named the "Trade's Increase," of 1000 tons. His destination was the Red Sea and Surat. On entering the former, he proceeded to the port of Mocha, but while matters seemed to be going on favourably he was treacherously made a prisoner, and conveyed to Sana in the interior. Having contrived to effect his escape, he rejoined his ships and sailed for Surat. On coming to the

mouth of the Tapti, on which that city stands, he found there a Portuguese squadron, whose commander informed him, that unless he had a letter of license from the king of Spain or the viceroy of India, he could not permit him to enter the port. Sir Henry replied that he came with letters and presents from his own sovereign to the great Mogul, who was no vassal to the Portuguese, and that he considered that he had as good a right as they to enter the port. The Portuguese then began to prevent the supply of provisions to them from the town; and as this caused much distress to the English, who had been so long at sea, and the authorities of the town had secretly signified to Sir Henry that they were perfectly willing to trade with him if it were not for fear of the Portuguese, he resolved to enter the harbour in spite of them. Leaving, then, his large ship out at sea, he advanced with the smaller ones to the mouth of the river. The Portuguese made a great deal of noise and bravado, but did not venture to attack. At length two of their barks rowed out to attack a boat which was taking soundings, but they were driven off and one of them was captured. The English vessels then anchored in the river, and all the future attempts of the Portuguese were repelled with loss.

A trade was now opened with the town; but the English agent, Downton, complains bitterly of the native merchants, who, he says, required a profit of fifty per cent. on what they sold, and would hardly allow the value of the freight on what they bought. But the English seem at this time to have had strange notions of commerce. Instead of allowing the native merchants to select such articles as were suited to their trade, they insisted on their taking all the articles which they had on board, especially a great quantity of lead for which the native merchants could hardly get any sale. At length the principal merchant agreed to take the lead; but as, by the custom of the country, he could annul the bargain by giving twenty-four hours' notice, Sir Henry, to prevent this, put the governor and some others who happened to be on board under arrest till the Indian goods should have been delivered. He thus succeeded in getting rid of his lead and laying in a cargo; but it was soon after signified to him that the English should have no factory at Surat, and they were obliged to retire from it without even having had time to collect their debts. Sir Henry then proceeded to Dabul, but he found he could effect nothing there. He then returned to Mocha, and exacted some further satisfaction for his seizure. He stopped every vessel he met, and made her agree to an exchange of goods, himself dictating the terms. Having thus gotten all he wanted, he stood for Bantam, whence he sent Downton home in one of the ships, intending to follow himself in the Trade's Increase, but he shortly after fell sick and died.

The Company also resolved to make trial of the Coromandel coast, and in 1611, Captain Hippon, accompanied by a Dutchman named Floris, as factor, sailed thither in a single vessel. Having reached Pulicat on that coast, where they hoped to establish a traffic, they were waited on by the president of the Dutch settlements there, who informed them that the Dutch had obtained a Kaul from the king of Narsinga 3, prohibiting all 3 So they called the rajah of Bejâyanugur.

other Europeans from trading there without their permission. Hippon replied in high terms; but he deemed it prudent to leave that port, and proceeded to Masulipatam, where they were near coming to the use of foul means, as they term it, with the governor. They thence went to Bantam and Patany, where the captain died, and thence to Siam. They then came back to Masulipatam, where matters went on more smoothly than the time before. Floris makes a remark which proves the tendency of traders to glut every market that opens to them. He says, that when he was in Siam four years before the demand for goods was such, that it seemed to him as if all the world could not supply'it, while now it was difficult to effect sales at all.

A fleet of three ships sent out also in 1611, under Captain John Saris, visited the Moluccas, and thence proceeded to the port of Finando in Japan. They were well received, and the captain and others were taken to court; but their prospects of establishing a factory were not realized.

In January, 1613, the English obtained their first settlement on the continent of India, and what human wisdom could ever have foreseen the consequences! The emperor Jehangir gave them permission to establish factories at Surat, Gogeh, Cambâi, and Ahmedabâd in Gûzerât. They were to pay a duty of three and a half per cent., and in return were assured of protection.

The average profits on the capital invested in the eight voyages made in those ten years (omitting Sharpey's) had been 171 per cent. But we must not look upon these as the legitimate returns of trade. Most of these voyages were piratic as much as commercial, ships when met were plundered, or the goods were taken out of them at the captors' price, and merchants were forced to buy what they did not want, and pay what the sellers demanded. In the succeeding four years, when the trade became more regular, the profits fell to 87 per cent., which we may observe still far exceeded those of the Dutch.

In the former of these periods, as we may have observed, the trade to the East was carried on rather by a regulated than a joint-stock company. Each voyage was a separate adventure, and those engaged in it managed it as they pleased, and on their own account, subject to the control of the company. As this left but little power in the hands of the directors, or perhaps as they really deemed it not the best mode, they exerted themselves to have it changed; and in 1612 it was resolved that the trade should be carried on only by a joint-stock, that is, that the shareholders were to place their money in the hands of the governor and directors, to be managed by them for the general interest, and the profits to be divided according to the shares. The fall in profits under the new arrangement certainly seems to speak in favour of the former system, but we have, we think, accounted for the difference.

For some years the agent of the company at the court of the Mogul had been Captain Hawkins*, who had gone thither from Surat, and been received with great favour, but owing to the inconstancy of Jehângîr, and the manoeuvres of those who were under the influence of the Portuguese, his exertions were fruitless, and he left it toward the

4 One of those who sailed in 1607.

A. D. 1611-19.

end of 1611, and returned to England. In 1615, however, Sir Thomas Roe arrived at Surat, as ambassador from king James I. to the Mogul court, and at Ajmîr he was introduced to the emperor. He was treated with the utmost attention and respect, and for some time had good hopes of success, but the same artifices were used against him as against Hawkins. At length he succeeded in obtaining a sort of treaty, promising the English permission to establish factories in Surat, Sind, Bengal, and all other parts of the Mogul dominions.

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Sir Thomas Roe, who was a man of sense and experience, bestowed some wholesome advice on the Company. He first advises them not to think of having forts, as being a needless expense, and apt to engage them in war, and shows that the Portuguese and Dutch had injured themselves by seeking to have them. "If the emperor," says he, "would offer me ten, I would not accept of one." He further counsels them not to be desirous of having an ambassador at the Mogul court, as 1500 rupees a year spent on two Mogul agents would serve them better than ten ambassadors," whose rank would be only an impediment. He likewise tells them, that they must suit their goods better to the market than they were in the habit of doing. Finally (and this, as we shall hereafter see, was the most important part), he strongly urges them to give up the practice of giving their servants small salaries and allowing them to trade privately on their own account; for "all your loss," says he, "is not in the goods brought home." His advice is strictly to prohibit private trade, but to give their servants "great wages to their content, and then," he adds, "you know what you part from. But then you must make good choice of your servants and use fewer."

RIVALRY OF THE ENGLISH AND DUTCH.

The Company at this time also got tolerably accurate information from their agents as to the various markets and best kinds of investments. They were told that Surat was the best place to get cotton-cloths, but that only China goods, spices, and money, would be taken there; these cloths might be sold, and gold, camphor, and benjamin be obtained at Acheen and Jambee in Sumatra, and pepper at Bantam and Jacatra in Java. They might also be sold in Siam for gold and silver, and for deer-skins, which last would answer the Japan market, where, besides, English cloth, silks, lead, &c., might be sold, and silver, copper, and iron, be obtained in return. Diamonds, bezoar-stones, and gold might be had in Borneo, but they did not much recommend that island on account of the treachery of the natives. The cotton-cloths could also be sold at Macassar in the isle of Celebes, and the best rice be had in return. Finally, the same goods might be sold in the Banda isles, and mace and nutmegs be procured in return, if the obstruction of European rivals were removed.

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keep this spirit a little in restraint with respect to the English, to whom they looked for aid in their still existing struggle with Spain. But when, in 1609, that power had acknowledged their independence, they began to act with less of reserve, and when, in 1617, the English took possession of Pularoon and Rosengin, two of the Banda Islands, the Dutch attacked their forts, and, failing to take them, they seized two ships bound for these stations, and refused to give them up unless the English renounced all claim to the Spice Islands. We are not, however, to suppose that the Dutch were in this conscious of acting wrong. It was a general principle, and recognized by all the commercial states of Europe at the time, that discovery and occupancy of any new country gave a right of sovereignty; the natives, if any, being, it would seem, as heathens, incapable of dominion. Accordingly the Dutch Company, in a memorial addressed to king James I. stated, that at their own risk and cost they had expelled the Portuguese from the Spice Islands, and established a treaty with the natives, by which they were to have the exclusive trade of these islands, on the condition of protecting them against the Portuguese, and that the agents of the English Company had endeavoured to interfere with these well-established rights, and even to excite the natives against them. To this the English replied, by enumerating the injuries done them by the Dutch, in places where the latter had no factories, and by showing that the Dutch never had occupied the two islands of which they had taken possession3.

In order to put an end to the rivalries and hostilities between the two Companies in the East, a treaty was concluded at London, on the 17th of July, 1619, in which it was stipulated, that there should be a mutual amnesty and restitution of ships and property; that the pepper trade of Java should be equally divided, that the English should have a free trade at Pullicat, on paying half the expenses of the garrison, and a third of that of the Moluccas and Banda Íslands, on the same condition. Each was to keep ten ships of war in the East for mutual protection, and to endeavour to reduce the exactions of the native powers. A council, named the Council of Defence, and composed of four members of each company, was to sit at Jacatra, and attend to the execution of this treaty, which was to be in force for twenty years.

To explain these last words, we must observe that the Dutch and English were nearly at war in the East. Cupidity and a spirit of aggression seem to be inherent in republics. Thus ancient Athens and Rome thought of nothing but conquest and plunder; the United Provinces were, and the United States are, the most rapacious and unscrupulous of traders, and the same tendency is to be observed in Great Britain, as it departs from its monarchic and aristocratic character. The Dutch, when they first visited the East, were obliged to

But this treaty availed little, for the Dutch were the stronger party in the East. They were willing to restore any ships they had taken of late, but not the goods or stores taken by individuals, as they said the Company could only be responsible for its own acts; but they would not admit the same reasoning on the side of the English. They excluded them from their share in the pepper trade, unless they paid for certain fortifications, &c.: they maintained that they had the right of sovereignty wherever they had forts, and that, if the English resided there, it must be under the Dutch laws.

5 Mr. Mill, always ready to put his countrymen in the wrong, says that these islands formed part of a cluster of which the Dutch had seized the principal, "and with the security of which the presence of the English in any of the rest could as little be reconciled, as the security of Great Britain could be reconciled with the dominion of the French

in Ireland." We do not see the analogy, for Ireland has surely been occupied by the English.

They finally required the English to pay their share of the expenses they had incurred in building forts in the Spice Islands. The English objected that a large part of this expense had been unnecessary, and that they had only bound themselves for the future expenses. The Dutch, in fine, carried matters with so high a hand, that the English members of the Council of Defence at length wrote home to say that the trade must be abandoned, unless measures were adopted in Europe to check the oppressive proceedings of the Dutch. Finally, the tragedy at Amboyna, which we shall presently relate, brought affairs to a crisis between the two parties.

Meantime, on the other side of India, the English were gaining on the Portuguese, to whom they were superior in every conflict on the sea. In 1620, two English ships which sailed to the port of Jasques, in Persia, found it blockaded by a Portuguese fleet. They went back to Surat, and, being there joined by two other ships, they forced their way into the port. The Portuguese, having refitted at Ormuz, returned to seek for revenge; but, though greatly superior in strength, they met with a complete defeat. This victory served to convince the Persians of the naval superiority of the English, and in 1622 a joint attack by the English naval and Persian land forces was proposed and effected, and the city and castle were taken. The English got half the plunder, and they were also granted half the customs of the opposite port of Gombroon, which became their principal station in the Persian Gulf.

The facts of the massacre of Amboyna (as it is rather improperly termed) were as follows. The Dutch had in that island a fort, in which there were about 200 men, while eighteen English were residing in a house in the town for purposes of trade. The Dutch, conceiving some suspicion of one of their Japanese soldiers, put him to the torture, and made him confess that he and others of his nation had conspired to seize the fortress. Others were then arrested and tortured. An English surgeon, named Price, who was confined in the fort for intoxication, was then told that his countrymen were also in the plot, and, on his denying it, he too was racked, and made to confess whatever was desired. A message was then sent to Captain Towerson and the other members of the English factory, requesting them to visit the governor. On their coming, they were arrested, and when they denied all knowledge of the plot they were put to the torture, and, of course, they confessed every thing. When released from the rack, they denied all that they had confessed when under it; but that mild persuader was again employed, and they again confessed. The issue was, that Towerson and nine others were condemned to death, and the rest were pardoned. The condemned received the sacrament from the hands of Dutch ministers, fervently protesting their innocence, and their heads were stricken off with a sword. A black pall was by way of distinction provided for the captain, and the price of it was actually charged to the English Company. Nine Japanese and one Portuguese were executed at the same time (1623).

In England the account of these executions was received with horror and indignation. The Company, to increase it, had a large picture painted, in which the sufferings of the victims were repre

sented in the most exaggerated manner, and numerous pamphlets on the subject appeared every day. The Dutch merchants in London found it even necessary to apply to the government for protection from the excited populace. A commission of inquiry was appointed by the king, and in its report it recommended that an order should be issued for seizing the Dutch East India ships, till satisfaction should have been obtained. The Dutch government, when applied to, coolly replied, that they had sent out orders to allow the English to retire from the Dutch settlements without paying any duties, that they might build forts, but not within less than thirty miles of a Dutch fort; but that all legal and judicial powers should be in the hands of the Dutch, in such places as acknowledged their authority, and that such were the Moluccas, Banda, and Amboyna. The Company caused their servants to withdraw from the Dutch settlements, and so the matter rested for the present; but it never ceased to rankle in the public mind.

When we consider the unscrupulous character of traders when free from restraint, it will appear far more probable that the conspiracy was a mere pretext for getting rid of the English, than that eighteen men should have hoped to master 200; some weight is also to be attached to the declarations of dying men. But, on the other hand, before such wanton and fiendish barbarity is laid to the charge of the Dutch, we must suppose the possibility of their having acted in error, and viewed the case through the discoloured medium of commercial jealousy. They may have persuaded themselves that there was a conspiracy, and that they had a right to punish those engaged in it; but, under all extenuating circumstances, their conduct was barbarous and inhuman.

CHAPTER III.

Courten's Association-Settlement at Madras-At Balasore -Union of Companies-Defence of the factory at SuratDisobedience of their Servants-Conflict with the Native Powers, and Abandonment of Bengal-Rival CompanyUnion of the Two Companies-Organization of the Company at Home and in India - Privileges obtained in Bengal.

THE affairs of the Company were not by any means in a prosperous state at this time. The private trade of their servants was very injurious to them, and the Dutch undersold them every where. In 1635, an event occurred, which they deemed would be their utter ruin. An association, headed by Sir William Courten, obtained from the crown permission to trade to India, under the pretext that the Company had done nothing for the good of the nation. They never ceased to petition the crown, but to no purpose. Courten's adventures were successful, his licence was renewed for five years, and it was directed that his association should not trade to any places where the Company had factories, nor the Company to where they had establishments. At length, on the Company's engaging to raise a new joint-stock, so as to carry on the trade on a sufficient scale, Courten's licence was withdrawn. But still the affairs of the Com

A. D. 1639-86.

SETTLEMENTS IN COROMANDEL AND BENGAL.

pany languished, and the war which ensued between King Charles and the Parliament indisposed men from engaging their money in distant trade.

In the year 1639, the Company got their first permanent settlement on the coast of Coromandel. They had already a station at Armegaon, but, not finding it convenient, they obtained permission from the rajah of Chandragheri to erect a fort at Madraspatam, which they named Fort St. George.

As early as 1620, an attempt was made to establish a factory at Patna in Bahâr; and in 1624 permission was given to the English to trade to the port of Piplee in Midnapore of Bengal. At length, when Shâh Jehân was in the Deckan, one of his daughters happened to be severely burnt; and, as the English surgeons were in high repute in India, one named Boughton was sent for from Surat. He succeeded in curing the princess, and, by the favour which he acquired by this and other cures, he had influence enough to obtain the privilege of free trade to Bengal for the English. factory was therefore established at the port of Balasore (1642).

A

When the power of England fell into the vigorous hands of Cromwell, a war ensued with the Dutch, which, though highly advantageous to the English in Europe, was almost ruinous to the Company in India. At the conclusion of the peace in 1654, the Dutch engaged to make compensation for the affair of Amboyna, and a joint commission was appointed for the purpose. Each party made immense claims, and it ended in a sum of 85,000l. being awarded to be paid to the English Company by the Dutch. A sum of 36157. was awarded to the representatives of those who had suffered at Amboyna, all the satisfaction ever given for that

massacre.

There was at this time awful confusion in the affairs of the Company. A union had been effected between the original body and Courten's association, now called the Assada Merchants, from their settlement on an island of that name. The stock of the former was joint-stock, while that of the latter and of some other proprietors was called the united joint-stock. The former wished to keep the trade on its original footing; the latter, who are called the Merchant Adventurers, required that the company should be an open one, like the Turkey, Russia, and Levant Companies. The Council of State, however, decided in favour of joint-stock management, and the two bodies were then united by a charter (1658).

In 1661, King Charles II. enlarged the powers of the Company considerably, by a charter which empowered them to make peace and war with any prince or people not being Christian, and to seize unlicensed persons within their limits and send them to England. By these last are meant what the Company called interlopers, that is, private English traders, who visited India on their own account, in defiance of the Company's monopoly. When the island of Bombay was given to that same monarch, as part of the dower of the princess Catherine of Portugal, he transferred it to the Company (1668) at an annual rent of 107. in gold. We may here also notice, that the servants of the Company had impressed the natives with a favourable idea of their valour, by their gallant defence of the factory of Surat, when Sevajee, the Maratta, attacked that town in 1664 and 1670. On

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the former occasion, the people of the quarter in which the factory stood were profuse in their terms of gratitude for the protection which they had thus experienced, and the governor presented Sir G. Oxenden, the chief of the factory, with a dress of honour; and, on his report to Aurungzîb, a remission of duties was granted to the Company.

An instance of disobedience on the part of one of their servants occurred also about this time. With all their efforts, they had not been able to put down the private trading of these men, though they rigidly punished it. Sir Edward Winter, the chief of the factory of Madras, being strongly suspected of it, was recalled in 1665; but when his successor came out he had the audacity to cast him into prison, under the pretext of his having used disloyal language; and he held the government till 1668, when a command of the king to him to resign came out. He then retired, and took refuge with the Dutch at Masulipatam. Mr. Mill on this occasion candidly owns that, all things considered, the Company's servants have been at all times more obedient than was reasonably to have been expected.

In 1664, the great Colbert formed the French East India Company. The English Company were of course alarmed; but when (1672) a French fleet of twelve ships came to Surat, the inconsiderate way in which they traded soon convinced the Company's agents that they had little to apprehend from their rivalry.

In consequence of a civil war between the king of Bantam and his son, the English, who had probably taken the side of the former, were expelled by the latter, when victorious, from that place. All their efforts to effect a return proved abortive, and the Dutch, who not improbably were at the bottom of the affair, remained omnipotent in Java.

The Presidency, which had hitherto been at Bantam, was now transferred to Fort St. George.

The number of the interlopers was now continually on the increase, and they were even making efforts to obtain permanent settlements on the coasts of the Deckan. The Company therefore, not content with the powers which they already possessed for protecting their monopoly, sought and obtained powers of admiralty jurisdiction, to enable them to seize and condemn their ships. Their servants thus possessed nearly unlimited power over all British subjects in the East, and much injustice was of course perpetrated in the case of the interlopers, whose own conduct, however, was not by any means irreprehensible, for many of them made trade but the pretext for piracy.

Nothing, as experience at all times has shown, is so unpalatable to the Company's servants as retrenchment. It being found at this time impossible to make the revenues of Bombay equal the expenditure, the expedient of reducing the latter was adopted. Forthwith Captain Keigwin, the commandant of the garrison, joined by the soldiers and people, renounced the authority of the Company and proclaimed that of the king (1683). All efforts to induce them to submit proved unavailing, till a royal command was obtained. Keigwin then surrendered on condition of a free pardon for himself and his adherents. In order to prevent the recurrence of such an event, the seat of government was removed from Surat to Bombay, and in 1687 it was made a regency, with unlimited power over the

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