The Company officials utilized different
methods to establish control over the Indian states before annexing territory
from them. Further, the Company did not simply march its armies in a pure
military conquest followed by annexation.
Instead, the Company’s relationships
with each Indian state were painstakingly developed politically and
economically, prior to any military confrontation. The company posted
commercial or political agents (generally called ‘Residents’) in each of the
major Indian states with which it dealt. As the Company power grew during the
1757-1857 period, it used a variety of methods to reduce the autonomy of each
state it encountered.
The Company’s rights of intervention in
each state were occasionally specified in treaties with that state. But
frequently, the Company’s agents simply exercised them without, or even in
violation of, any formal treaty provision. The Company squeezed vast amounts of
capital from each state, either through tribute or subsidy payments by the
ruler or else through the manipulation of trade.
The Company cut down the size and
effectiveness of the armies under the control of the Indian rulers, preventing
these armies from deployment outside of the state and additionally, limiting
their use by the ruler for internal purposes such as revenue collection.
By shifting military power from the
armies of the states to ‘subsidiary forces’ (paid for by the state but under
control of the Company), the Company made many of the rulers powerless to
oppose it openly. Through intervention in the internal affairs of the state,
the Company finally established indirect rule over all the Indian states which
it did not immediately annex.
Thus, early annexations took place
mostly through military conquest over weakened Indian states, but later
annexations came in instances where the Company deposed a ruler or dynasty
already under its indirect rule. In quite a few cases, like that of Bengal, the
Company established varying degrees of de facto power long before the official
assumption of de jure authority took place.
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