16. The British government made several attempts to rein in the power of the EIC
By the end of the 18th century, Parliament was aware of the power of the EIC and attempted to rein it in through a series of legislative acts over the succeeding years. Some succeeded, at least initially, others did not. What did evolve, over the first half of the 19th century, was an increased linking of the company and the government, with each influencing the other in ways which focused primarily on profits for the company, and increased tax revenues for the government. The “subjects” brought to the British Empire through the company’s expansion were of less concern for either.
In 1813 Parliament renewed the EIC’s charter for another twenty years, but the resistance in India of many of His Majesty’s “subjects” had strained resources to the breaking point. Parliament reiterated that the Crown was sovereign over the EIC’s territories (though the EIC retained control), and eliminated its monopoly on all trade other than tea and the lucrative trade with China (ignoring the fact that the opium trade was illegal, at least as far as China was concerned). The EIC needed the profits from the opium trade to fund its armies and to provide the cash with which to purchase tea.