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Petition was prefented from the Eaft-India Company, fetting forth, that finding themfelves under a neceffity of applying to parliament for relief, they hoped they should be efteemed worthy of receiving it, in the manner, and upon the terms, fpecified in feveral propofitions, which were included therein. The principal of thefe, were a requifition for a loan of 1,500,000l. for four years, at four per cent. intereft, with liberty of repaying the fame, as foon as the Company was able, in payments of not less than 300,000l. and that the Company fhould not make a dividend of more than fix per cent, until the loan fhould be reduced to 750,000l. that then they might raife their dividend to eight per cent; and after the whole loan was discharged, that the furplus of the nett profits arifing in England, above the faid dividend, fhould be appropriated to the payment of the Company's bond debt, until it was reduced to 1,500,000l. and from thence, that the furplus profits, fhould be equally divided be

tween the public and the Company. It was alfo requested, that the Company fhould be releafed from the heavy penal intereft incurred by the non-payment of money, owing in confequence of the late acts for the indemnity on teas, and difcharged from the annual payment of the 400,000l. to the public, for the remainder of the five years fpecified in the agreement.

It was farther propofed on the fide of the Company, that the accounts of the Duannee revenues, of the charges of collection, of the civil and military expences of Bengal, together with the amount of the Company's fales, charges debts owing, bills drawn upon them, and goods in their warehouses, fhould be delivered annually to parliament; and it was defired, that leave might be given to export teas free of all duty, to America, and to foreign parts.

Some reports from the fecret committee had also been received at this time; and as defigns upon the Company's territorial poffeffions were apprehended to be in

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contemplation, a gentleman who had been chancellor of the Exchequer in a former adminiftration, moved that several papers, which had paffed between the English and French minifters, previous to the late peace, relative to the affairs of the India Companies of both nations, fhould be laid before the House. These papers tended to fhew, that fo far as the fentiments of the crown at the time of the peace, could be collected from thofe of its minifters, it was understood that the Eaft-India Company had an exclufive and undoubted right to thofe territories it poffeffed, whether acquired by conqueft or otherwife. In one of them was read the following remarkable paffage, "Refpecting thofe territorial acquifitions the English Eaft-India Company have made in Afia, every difpute relative thereto must be fettled by that Company itself, the crown of England having no right to interfere, in what is allowed to be the legal and exclufive property of a body corporate belonging to the English nation."

After the Eaft-InMarch 9th. dia petition had been read, the first lord of the treasury, in introducing the fubject of the loan, obferved, that the granting of relief to the Company was a matter of neceffary policy, and expediency; but in no degree, a claim of right or of justice, as had been reprefented; and having taken notice of the various methods that had been fuggefted for that purpose, propofed the following refolutions, which were agreed to, viz. That it is the opinion of this House, that the affairs of the Eaft-India Company are in fuch a ftate as to require parliamen

tary affiftance. That a loan of a fum of money is necessary to reinftate the Company's affairs. That a fupply of 1,400,000l. be granted to the Company. Provided at the fame time, due care fhall be taken, that the neceffary regulations be adopted, to prevent the Company's experiencing the like exigencies in future.

The minifter upon this occafion, though he waved, for the prefent, any particular difcuffion of the point, not only called in queftion the Company's claim of exclufive right to its territorial poffeffions, but infifted upon a prior right in the ftate; from whence he inferred the juftice and legality of its interpofing its authority in all cafes in that Company's affairs. He obferved, that this doctrine was not peculiar to himself; and that feveral perfons of great knowlege in the laws, had declared it as their opinion, "that fuch territorial poffeffions as the fubjects of any state fhall acquire by conqueft, are virtually the property of the ftate, and not of thofe individuals who acquire them."

Though this was a matter, rather of converfation than debate, fuch an avowal from that quarter, was thought too dangerous, to be paffed over without animadverfion. It was faid, that the relation which thofe opinions could have to the Company, depended folely upon the manner of stating the question; that in certain circumftances they were very juft, and were not to be contefted, when territorial poffeffions were acquired under the authority of the ftate; but that when the ftate, (as in the prefent inftance) has in the most folemn and authentic manner, delegated that

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authority to a distinct and feparate body, it can never, without a breach of the conditions on which it was granted, be refumed, without the most manifeft injustice, and flagrant violation of public faith; that fuch doctrines were fubverfive of all true commercial principles; and were equally inconfiftent with the high rights of the royal prerogative, the faith and honour of parliament, and that right of confirmed property, which every man, and every body of men, have, or ought to have, in their legal acquifitions. It was further obferved, that the Company's poffeffions in India were not in ftri&tnefs conquests; that they were farms held from the prince who was their proprietor and rightful owner; but that a question of property of that nature, was to be decided in a court of juftice, and was not a proper fubject of difcuffion there, where the public, who were themfelves interested parties, would thereby become the judges in their own cause.

March 23d. the two following reIn fome time after, folutions were proposed by the minifter, and paffed without a divifion, "That fuppofing the public fhould advance a loan to the EaltIndia Company, it is the opinion of this committee, that the Company's dividend fhould be reftrained to fix per cent. until the repayment of the fum advanced." And, "that the Company be allowed to divide, no more than feven per cent. until their bond debt be reduced to 1,500,000l."

In the firft ftating of thefe propofitions, the following words were added to the second; but were afterwards ftruck out, viz. " and VOL. XVI.

no more than eight per cent. before the participation of profits be tween the public and the Company fhould take place."

As these reftri&ions were contrary to the terms propofed by the Company in its petition to the House, they were productive of confiderable debates. They were fupported, on the undoubted right which every creditor had, previous to his parting with his money, to exact fuch conditions and ftipulations from the borrower, as he thought neceffary for his own fecu rity; and it was infifted, upon the foundation of the reports made by the fecret committee, of the ftate of the Company's affairs, that it could not with juftice to the public, and a due attention to the welfare of the proprietary, afford to make a greater increase of dividend. It was hinted, that the Company had been guilty of an act of delinquency, by exceeding its legal powers in the amount of its bond debt; and it was intimated, that it probably would hereafter be thought neceffary, to agitate the question of Right, as to the territorial poffeffions, in parliament. As a falvo, however, to the apprehenfions excited by these dangers, it was alfo thrown out, that when the proposed reduction of the bond debt had taken place, and the loan was repayed to the public, the treafury might then, perhaps, contribute a moiety of its fhare of the participation, entirely to reestablish the affairs of the Company.

On the other hand, the reprefentations of the Company's affairs, that had been made by the fecret committee, were declared to be extremely erroneous; the injury [G]

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that so numerous a body of people as the prefent ftockholders would receive in their property, by the proposed restrictions, was ftrongly pointed out; and the chairman of the India Company, was called upon in his place to anfwer, whether he had not declared at a general court, that the propofed increase of dividend, before the participation of profits took place between government and the Company, would have been agreed to? The chairman acknowledged that he had made fuch a declaration, and thought himself authorized fo to do, from feveral converfations which had paffed between the first lord of the treafury and him upon the fubject; feveral parts of which he then repeated. The noble lord declared, that he had given no fuch promife or hopes to the gentleman, at any interview, in which he confidered him as acting in his official capacity of chairman to the Company; and that he had repeatedly cautioned him, that whatever paffed in private converfation was to be buried in oblivion, and never to be quoted as authorizing him to any measure whatsoever. These reftrictions, however, upon the converfations of public perfons on public business, feems to defeat the end of those converfations. A corporate body can have no information otherwife authenticated; fince meffages in writing are not ufually delivered. Such mifapprehenfions or misreprefentations on one hand, or retraction of promise on the other, had been frequent in the India tranfactions from the beginning, and had produced many mifchiefs.

It was infifted, that the Company had not exceeded its legal powers in regard to the bond debt,

though terrific threats upon that fubject had frequently been held out; and it was declared, that they were ready to meet government upon that ground, whenever it thought proper. To conclude, it was requested, that a matter which affected the property of fo great a number of people, as the proposed reftrictions did, fhould not be haftily entered into; and that a few days at least might be allowed, to confider coolly of its confequences; that it should be remembered, that the proprietary had agreed to treat with adminiftration upon a fuppofition that a dividend of eight per cent. would meet with its fupport, and that to refufe it now, was to lend the aid of government to deceive a fet of men, who had already fuffered extremely, by being too greatly and too frequently impofed upon.

To this propofal it was replied, that nothing could be more unjust, or even monftrous, than the idea of raifing a dividend, till the Company's debts were discharged; that the poftponing the refolutions, even for a few days, could anfwer no ufeful purpofe; the reftriction of the Company's dividend to fix per cent. was either a proper or an improper meafure; if it was an improper measure, the fooner it was difcuffed and laid afide, the better; if, on the contrary, it was a proper measure, why poftpone it?

This inflexibility of the minifters, brought on much cenfure from the other fide. It was infifted that the Eaft-India Company were not before the House. That the act of the Company was contained in the whole of the proposals that were laid before them; that the House was to treat with the Company in

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its corporate capacity, and to accept or reject the whole of its acts; that to accept of part of the Company's propofals, reject the reft, and ingraft new propofals of its own upon thofe offered by the Company, was to drop the idea of a treaty between parliament and a corporate body, and to deftroy the charter rights of the Company.

It was afferted, that all the late treaties between government and the Company, and particularly the prefent, were in the highest degree iniquitous on the fide of the former; that the artifice, duplicity, and treachery, used in conducting them, were as fhameful, as the terms were unfair, and the ultimate defigns wicked; and that if ever the Company were before the Houfe, they had either been compelled there by violence, circumvented by fraud, or impelled by menaces. In fome time after, April 5th. the following refolu. tions were moved, and carried by the minifter, viz.-"That it is the opinion of this Houfe, it will be more beneficial to the public and the Eaft-India Company, to let the territorial acquifitions remain in the poffeffion of the Company for a limited time, not exceeding the term of fix years, to commençe from the agreement between the public and the Company."

That no participation of profits fhall take place between the public and the Company, until after the repayment of the 1,400,000 1. advanced to the Company, and the reduction of the Company's bond debt, to 1,500,000 1."-" That after the payment of the loan advanced to the Company, and the reduction of their bond debt to the fum fpecified, three fourths of the

nett furplus profits of the Company at home, above the fum of eight per cent. upon their capital ftock, fhall be paid into the Exchequer, for the ufe of the public, and the remaining one fourth fhall be fet apart, either for further reducing the company's bond debt, or for compofing a fund for the discharge of any contingent exigencies the Company may labour under."

The right of the ftate to the territorial poffeffions was now infifted upon; but that from motives of policy, expediency, and mutual advantage, it was thought better to wave that right for the prefent, and to fuffer the Company to enjoy them for fome time longer; the limitation for fix years was accounted for, by the expiration of the Company's charter, which would take place in the year 1780.

The measure of affuming and eftablishing a right, without any legal decifion, or juridical difcuffion, or fo

much as hearing the party on the matter of his right, was, without queftion, a very extraordinary proceeding. The other fide cried out against it; but in vain. It was to as little purpose to declare, that the whole conduct with respect to the Company, was equally contradictory to every principle of general law, of equity, and of the policy of nations, as it was impolitic, un wife, and entirely repugnant to the letter as well as fpirit of the laws, to the liberties, and to the conftitution of this country. For what purpose, faid they, do you affert this right, when, in the very fame breath, you admit that it is not proper to exercise it? Nobody was then contefting it. It was no part of any queftion then before the House. If there was not fome finifter

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