He had ceased to attend the General Courts, and did not even ballot upon any question, except that regarding the agreement with Government, which he opposed; but which, after three efforts, the combined force of the Administration and the Directors carried by a majority of 40; 290 for, 250 against.

Writing to Mr. Claud Russell[160], in Bengal, he takes a comprehensive and sound view of national concerns at the turbulent period which immediately preceded the American war. "To describe the situation of our affairs at home," says he, "would require a much abler pen and more time than I am at present master of. We are drawing very fast towards a dangerous crisis, from which we can only be extricated by some first-rate genius, and where to find that genius does not appear at present. Our wide and extended possessions are become too great for the mother country, or for our abilities, to manage. America is making great strides towards independency; so is Ireland. The East Indies also, I think, cannot remain long to us, if our present constitution be not altered. A Direction for a year only, and that time entirely taken up in securing Directors for the year to come, cannot long maintain that authority which is requisite for the managing and governing such extensive, populous, rich, and powerful kingdoms as the East India Company are at present possessed of. So far are our Ministers from thinking of some plan for securing this great and national object, that they think of nothing but the present moment, and of squeezing from the Company every shilling they have to spare, and even more than they can well spare, consistent with their present circumstances. I have drawn out my thoughts on this important subject, but I dare not trust them to so divided, weak, and selfish an Administration. If Lord Chatham and Mr. Grenville should appear once more at the head of affairs (of which there is some prospect), they are the only men capable, in my opinion, of embracing such ideas, which you know are extensive ones.

"Mr. Sulivan," he continues, "still entertains hopes of being a Director, and Mr. Vansittart of being Governor of Bengal; to which ambitious views I shall give every opposition in my power. For, if I could admit, which is far from the case, that both are every way qualified for the stations they are aspiring at, yet, I know their connections to be such, that they must attempt the overthrow of that system which hitherto has been attended with so much advantage to the nation and the Company. The efforts which have been made are great, yet I am confident they will fail in their designs, if the Directors remain united among themselves, which, at present, there is a great probability of, notwithstanding the divisions and dissensions which have lately arisen among them, about the propositions made to Government. I myself am strongly against them, as they stand at present; because I think neither the welfare of the public, nor of the Company, have been consulted, and that the Directors have committed themselves too much to administration, from an apprehension of a Parliamentary inquiry, and from a dread of being again examined at the bar of the House of Commons.

"My best wishes are offered for your speedy return to your native country with health and independency, without which there can be no happiness in this life; and the sooner that event happens, the more pleasure it will afford,

"Yours, &c."

He writes in the same style to several of his friends, and from many of his letters it appears, that the occasional disappointment suffered by a mind so ardent as his, and so little accustomed to be thwarted, had turned his thoughts strongly to retirement. "The conduct of the Directors, in committing themselves in the manner they have done to Administration," he observes in a letter to Mr. Sykes[161], "is unworthy of them, and contrary to their duty as Directors. In my conduct, I have taken up the great line of future advantage, both to the nation and to the Company. I spoke long upon the subject in the House of Commons, and with some applause, but all to no purpose; the necessities of the state, and present gain, weighed down and overpowered all argument."—"In my opinion, the sooner you return to England the better. I know that your fortune is more than sufficient, and that it has been honourably acquired. Come, then, and partake with us in country retirement; and when you want to amuse yourself in town and serve your country, be as we are, a member of Parliament. What can I say more than that I am, &c."

"To tell you the truth," says he, in a letter of the same date, to Sir Robert Barker, "after the next general election, I find myself very much disposed to withdraw myself from all public concerns whatever. My own happiness and that of my family is the only object I have in view, and that can only be obtained by retirement from the bustle and noise of a busy, debauched, and half-ruined nation."

In the April election which followed, Mr. Sulivan's party renewed their efforts to recover their seats and influence in the Direction. Immense efforts had long been making for that purpose. Many of their friends had purchased largely of India stock, and divided what they possessed, for the purpose of making new votes. The ships' husbands, as they are called, a body of great wealth and influence at the India House, who had quarrelled with the Directors, split 150,000l. of stock against them. Lord Shelburne was said to have split 100,000l. of stock to support his friend Sulivan. The Directors had alienated many of the Proprietors by opposing the increase of dividend, and they had violent differences among themselves, so that two of them refused to concur in the proposed House List. The consequence was, that Mr. Sulivan and his friends, who were also supported by the ministry, were brought into the Direction, and a very important change of system followed. The friendship that had long subsisted between Lord Clive and Mr. Vansittart, had been first shaken by the revolution effected in Bengal under Mr. Vansittart's government, when Meer Jaffier, whom Lord Clive had placed on the musnud, and protected, was dethroned: the coolness that followed was increased by Mr. Vansittart's connection with Mr. Sulivan, whom he joined in the politics of the India House; and an open rupture, the particulars of which it is unnecessary to detail, followed, soon after Lord Clive's return to England. Vansittart's great object was to return to Bengal as Governor, or even as Governor-General of India. The restoration of his friends to power was favourable to these views; and the two parties, each of which was able to impede the other, but not entirely to carry its own objects, found it expedient to come to a compromise. The state of India absolutely required that the public affairs there should be placed on a better footing. Instead of sending out an individual, it was finally arranged that a commission of supervisors should be appointed, with very ample powers to investigate on the spot into every department of affairs, and the conduct of the public officers; to suspend, if necessary, even the presidents and councils, and to frame regulations adapted to the exigency of circumstances. To this important trust Mr. Vansittart, Colonel Forde, and Mr. Scrafton, all of whom had distinguished themselves in the country, were appointed; the first by the influence of Mr. Sulivan, the two last by that of Lord Clive. It is well known that the Aurora frigate, in which they sailed, was never heard of after leaving the Cape of Good Hope, and is supposed to have foundered at sea. Lord Clive, writing to Mr. Verelst, in the end of this year, alludes to these transactions; "The public papers," says he[162], "and your friends, will explain to you the India politics. The severe blow given the old Directors last year, by the admission of Sulivan and so many of his party, has been the occasion of all that has happened; and we were obliged to compound with Vansittart for his being Supervisor jointly with Scrafton and Forde, to prevent his going out Governor to Bengal, or Governor-General, which was the thing aimed at. Mr. Vansittart received all the support which Ministry, the Court, and Princess Dowager could give, and was very near succeeding in his ambitious designs. When you arrive in England," he continues, "you will find me at Claremont, a delightful place, about fourteen miles from London, and in your way from Portsmouth, if you land at that place."

The same views are contained in his letter of the 15th of February, 1770, to Mr. Kelsall.

"Dear Sir,

"I have received your letter, dated Dacca, January, 1769, and should have given you my sentiments upon the contents, if the appointment of Supervisors with such great powers had not made all reply useless and unnecessary. These gentlemen will, I hope, take into their most serious consideration, the state of the Company's affairs in every part of India, and apply proper remedies to every evil. I do not at all envy them their appointment, being certain they will find it a very difficult task to answer the expectations of the public, without disgusting and disobliging individuals. If they can find the happy expedient of doing strict justice to the Company, and of giving satisfaction to the civil, military, and free merchants, they will have found out an art that I was not master of during my last residence in India.

"I will not trouble you with the situation of affairs in England. Anarchy and confusion seem to have pervaded every part of the British empire. In vain can we expect our affairs shall flourish abroad, when all is going to ruin at home. The Directors are so divided among themselves, and so much taken up in struggling for power at every general election, that they have quite lost sight of the Company's interest, which is daily sacrificed to their own views, and the views of particular Proprietors, to answer their purposes."—

"With regard to myself, having struggled long enough against the tide to very little purpose, I am determined the approaching election shall put an end to my activity, in support of any set of men whatever. It is beyond my power to do the Company any farther service; and the disposition to ease and retirement gains ground upon me daily. The best and soundest advice I can give you is, to return to England rather with a moderate competency, while you have youth and constitution to enjoy it, than by staying longer, lose that youth, and sacrifice that constitution, which no riches can possibly compensate for. Hoping soon to see you in England, I am,

"Dear Sir,
"Your sincere friend and affectionate kinsman,
"Clive."

The elections of April, 1770 and 1771, in which Mr. Sulivan's party was still powerfully supported, had not a tendency to recall Lord Clive's mind from his plan of retreat;—"The loss of the Supervisors," says he, writing to Mr. Henry Moore, Chief of Bussorah[163], "since the last advices from India, is looked upon as certain. I hope the same Providence, which has so often manifested itself in our favour in the East, will continue to watch over us, and extricate us from the almost insurmountable difficulties in which we seem to be involved. It is not unlikely but a new commission may take place; but where the Directors will find men every way qualified to execute such a task, is hard to say." In the conclusion he adds, "I am come to the resolution of withdrawing myself entirely from India affairs, and spending the rest of my days in ease and retirement." These were the natural longings for retreat, and aspirations after repose, of a great and active mind, fatigued with petty exertions, and disappointed in its endeavours to be useful; but it was a repose which Clive was not destined to enjoy.

Meanwhile, the derangements in the various branches of the Company's affairs abroad continued to increase. No one felt more strongly than Lord Clive the evils that resulted from them, or was more aware of the extreme difficulty of applying a remedy; but at the same time his experience taught him, that by a judicious management much might be effected. The chief sources of expense arose from a jealousy of Sujah-u-Dowlah's designs, and from the ill-conducted war against Hyder Ali. In a letter to Sir Robert Barker, written at a time when there was a very general alarm, which produced a great fall of India stock, he gives very distinctly his ideas of the leading principles of our Indian policy;—"Both the Directors and the nation[164]," says he, "are more apprehensive of the consequence of a rupture with Sujah Dowlah than I confess I am, even from your accounts of the state of affairs in that part of the world.

"All the efforts of that ambitious prince must prove vain against our numbers, revenues, and discipline. His sepoys, when they come to action, will never stand against ours, headed by English officers; and, if he trusts to his infantry alone, the loss of a battle will be ruin. But if he makes war upon us in Bengal with them, he may distress us for a time, and lessen both our investments and revenues, which is the greatest detriment the nation and Company can suffer. At present, however, I both wish and hope, he has no views to the southward, but that he bends his thoughts towards Delhi, and wishes to have the King with him. So do I too, if the King's consent could be obtained for that purpose. I was always apprehensive the King would endeavour to embark us, by some means or other, in his extensive views of going to Delhi, and reducing to obedience by our means all Hindostan. This is a plan I have always opposed; and, to tell you the truth, I wish our troops were all in Bengal, and that no other object employed our attention, but that of defending ourselves when attacked. I wish the King was gone to Delhi or any where, so as we had nothing more to do with him; or that he could be prevailed upon to spend the rest of his days and money quietly at Patna. I think the wisest scheme we could pursue would be, to take no open part with these Hindostan princes, but privately promote their quarrelling to all eternity."

His letter to General Joseph Smith on the war in the Carnatic, is too creditable to that gallant officer to be omitted.

"Berkeley Square, 9th March, 1770.

"Dear Sir,

"I have received, and am much obliged to you for your accurate and circumstantial letter of the 15th of June, 1769.[165] Our misfortunes, and I may add, our mismanagements on the coast, have been great indeed: but it is some satisfaction to me to find, that your conduct has been such as all who know you had reason to expect; and that, whoever may have been to blame, no impeachment can be laid against you. I need not enter into reflections upon the fundamental errors of the war. For the honour of the nation and the Company, I wish they could be for ever buried in oblivion, or at least remembered only by ourselves, to warn us upon any future occasion. The measure of sending field-deputies has justly been condemned by every body. Gentlemen in the civil service may be very properly employed out of the presidency in the collection of the revenues; but nothing can be more absurd and pernicious than sending them to a camp, where they can only embarrass or obstruct plans and operations which they do not understand. I sincerely wish that the peace, however ingloriously made, may continue: but this is merely a wish, and by no means my expectation. I am with great regard, &c."

The difficulties in Bengal went on increasing. Mr. Cartier's mild but feeble government, which began in January 1770, was marked by one of those horrible famines which afflict a populous country like Bengal, dependent chiefly on its agriculture, above all others. One third of the natives are computed to have perished by sickness and famine. The revenues and trade of the country, which were suffering before, were still more disordered by this new calamity. The expense of establishments, instead of diminishing, increased; and instead of a surplus revenue to be remitted home, the extent of bills which had been drawn on the Court of Directors in England, during the latter part of Mr. Verelst's Government, was prodigiously increased. On Mr. Cartier's resignation, it was necessary to think of some able successor to meet the difficulties that were so sensibly felt. Mr. Hastings was finally pitched upon. We have seen that that gentleman had served for some time in an important situation under Lord Clive. He was in Council during Vansittart's administration, and his minutes evince the extent of his information and talents. He accompanied Mr. Vansittart home, and had remained in England about four years, when the pressure of narrow circumstances again forced him to think of the East.

Mr. Sykes, in a letter to Lord Clive, dated Calcutta, 28th of March, 1768, observes, "Your Lordship knows my regard for Mr. Hastings, and the intimacy which we have maintained during so many years."—"I have now brought his affairs nearly to a conclusion, and sorry I am to say, they turn out more to the credit of his moderation than knowledge of the world. He is almost literally worth nothing, and must return to India, or want bread. I therefore make it my earnest request to your Lordship, that, even if you cannot consistently promote his reappointment to the Company's service, you will at least not give any opposition thereto." At this time parties ran very high between the Directors and the party of Sulivan and Vansittart, to which Hastings had attached himself. Lord Clive did not, however reject this appeal to his generosity, in behalf of a man for whom he had always felt a kindness; "Mr. Hastings' connection with Vansittart," says he in reply[166], "subjects him to many inconveniences. The opposition given the Directors this year, prevented my obtaining his return to Bengal in Council. Indeed he is so great a dupe to Vansittart's politics, that I think it would be improper that he should go to Bengal in any station, and I am endeavouring to get him out to Madras, high in Council there, in which I believe I shall succeed." In the course of the following year, Mr. Hastings was accordingly sent to Madras, second in Council, and there distinguished himself by his zeal and intelligence. The loss of Vansittart in the Aurora, probably took away the chief objection to his removal to Calcutta; and the disturbed state of public affairs, requiring the presence of a man of the first ability, to restore them to order, and to regain the public confidence, he was actively recommended by Lord Clive, as the man in India the best fitted for the charge. In 1771, he was accordingly appointed Governor of Bengal. The letter which Lord Clive addressed to him on this occasion is too remarkable to be omitted, not only as it concerns the two perhaps, most eminent men who ever held that high office, and throws so much light on the character of both, but as it overflows with the soundest practical wisdom. It is difficult to calculate what effect the influence of the very superior men whom he proposed as a Council, might have had on the future fortunes and history of India. But neither the Directors nor the Ministers were sufficiently advanced in their views of Indian policy, or possessed sufficient expansion of mind to adopt a measure in which the expense of employing first-rate men was as nothing, compared with the results that might have been anticipated.

"Berkeley Square, 1st August, 1771.

"Dear Sir,

"The despatch of the Lapwing gives me an early opportunity of congratulating with you on your removal to Bengal; and as my zeal for the service actuated me to take the share I did in your appointment, the same principle prevails upon me to offer you a few of my ideas upon the important Government in which you now preside.

"Two or three months ago, when the plan of Supervisors was renewed, Sir George Colebrooke and Mr. Purling desired my opinion. My advice was, that, as the prosperity of the Company was now become a matter of very serious national concern, it behoved them to show that, in appointments of this nature, they were guided, not by the view of particular friends, but merely by that zeal which the duty of their station demanded, for preserving and rendering permanent our possessions in India; and that, therefore, they should turn their thoughts towards men who stood high in public character and reputation. I proposed Mr. Wedderburn, Mr. Cornwall, and Sir Jeffrey Amherst, together with you, as Governor, and one of the Council; and that these five should be invested with all the powers civil and military. Sir Jeffrey Amherst, however, declined. As to the two former, they might be prevailed upon; but the Directors do not seem ready to embrace any great comprehensive plan of supervisorship, so as to make it an object for men of such consequence. My last proposition was, that the Company should revert to the plan of my Government, viz. that a Committee of five should be appointed out of the best and ablest men in Bengal, of whom the Governor should be the head; and this, I imagine, will be adopted.

"The situation of affairs requires that you should be very circumspect and active. You are appointed Governor at a very critical time, when things are suspected to be almost at the worst, and when a general apprehension prevails of the mismanagement of the Company's affairs. The last parliamentary inquiry has thrown the whole state of India before the public, and every man sees clearly, that as matters are now conducted abroad, the Company will not long be able to pay the 400,000l. to Government. The late dreadful famine, or a war, either with Sujah-u-Dowlah, or the Mahrattas, will plunge us into still deeper distress. A discontented nation and disappointed Minister will then call to account a weak and pusillanimous Court of Directors, who will turn the blow from themselves upon their agents abroad; and the consequences must be ruinous both to the Company and the servants. In this situation you see the necessity of exerting yourself in time, provided the Directors give you proper powers, without which, I confess, you can do nothing; for self-interest or ignorance will obstruct every plan you can form for the public good.

"You are upon the spot, and will learn my conduct from disinterested persons; and I wish your government to be attended, as mine was, with success to the Company, and with the consciousness of having discharged every duty with firmness and fidelity. Be impartial and just to the public, regardless of the interest of individuals, where the honour of the nation, and the real advantage of the Company are at stake, and resolute in carrying into execution your determination, which I hope will at all times be rather founded upon your own opinion than that of others.

"The business of politics and finance being so extensive, the Committee should not be embarrassed with private concerns. They ought not, therefore, to be allowed to trade. But their emoluments ought to be so large as to render trade unnecessary to the attainment of a competent fortune. For this purpose I am confident the salt will prove very sufficient. The Society should be formed upon an improvement of the plan which was not perfected in my time. The price to the natives was too great, and so was the advantage to the servants. Reduce both, and I am persuaded there will be no complaint of oppression on the one hand, or want of emolument on the other.

"The Company's servants should all have a subsistence, but every idea of raising a fortune, till they are entitled to it by some years' service, ought to be suppressed. If a general system of economy could be introduced, it would be happy for individuals as well as for the public. The expenses of the Company in Bengal are hardly to be supported. Great savings, I am certain, may be made. Bills for fortifications, cantonments, contracts, &c. must be abolished, together with every extravagant charge for travelling, diet, parade, and pomp, of subordinates. In short, by economy alone the Company may yet preserve its credit and affluence.

"With regard to political measures, they are to be taken according to the occasion. When danger arises, every precaution must be made use of, but at the same time you must be prepared to meet and encounter it. This you must do with cheerfulness and confidence, never entertaining a thought of miscarrying, till the misfortune actually happens; and even then you are not to despair, but be constantly contriving and carrying into execution schemes for retrieving affairs; always flattering yourself with an opinion that time and perseverance will get the better of every thing.

"From the little knowledge I have of you I am convinced that you have not only abilities and personal resolution, but integrity, and moderation with regard to riches; but I thought I discovered in you a diffidence in your own judgment, and too great an easiness of disposition[167], which may subject you insensibly to be led, where you ought to guide. Another evil which may arise from it is, that you may pay too great an attention to the reports of the natives, and be inclined to look upon things in the worst, instead of the best, light. A proper confidence in yourself, and never-failing hope of success, will be a bar to this and every other ill that your situation is liable to; and, as I am sure that you are not wanting in abilities for the great office of Governor, I must add that an opportunity is now given you of making yourself one of the most distinguished characters of this country.

"I perceive I have been very free in delivering my sentiments; but to make an apology were to contradict the opinion I profess to have of your understanding, and to doubt whether you would receive this as a token of my esteem."

"It is, perhaps, unnecessary to add, that this letter, which I have written in the fullest confidence, should be kept entirely to yourself. If a reciprocal communication of our sentiments on India affairs be agreeable to you, you may depend upon my continuing the correspondence in such manner as to show that I am, with the sincerest wishes for your honour and success,

"Dear Sir,

"Your very faithful humble servant,

"Clive."

CHAP. XVIII.

While Lord Clive was every day more and more desirous of disengaging himself from the vexatious and unsatisfactory annoyances of Leadenhall Street politics, yet unwilling to forsake altogether the means which they afforded him of promoting the interest of his friends, and of influencing beneficially the government of our Indian empire, as to the fate of which it was impossible that he could be indifferent, the progress of events drew him once more conspicuously forward on the stage of public life, and desperate attempts were made to ruin at once his fortune and his reputation. It was his fate to suffer, not for his vices or errors, but for his virtues. His upright and honourable discharge of his painful duties, during his second government of Bengal, was at the root of all the persecutions which he afterwards endured. The men whom he made his enemies, by a firm yet temperate exercise of authority, resolved, if they could not justify their own conduct, to embitter, to the utmost of their power, the feelings of the statesman who had disturbed them in the career of unlawful gain. They had attempted to injure him in the courts at the India House. The changes in public affairs now enabled them to point an attack against him on a larger theatre, in the British Parliament.

We have seen that the rumours of the boundless wealth of India, the extent of the provinces conquered, and the amount of the revenue acquired, had raised the question to whom those conquests belonged,—to the trading company that had made them, or to the country and sovereign under whose auspices they were made? and that, to prevent the decision of this question, for which neither party was perfectly prepared, a compromise had been entered into between Government and the Directors, in 1767, and afterwards renewed. But disasters and mismanagement in India and at home had, in the course of a few years, reduced the Company's affairs to such distress that, far from being able to pay the sum stipulated, it became very problematical if they would be able to discharge their ordinary debts. The Directors were willing to throw the blame on their servants abroad, whom they charged for acting contrary to their orders; while they, on their part, defended themselves as they best could from the imputations cast upon them. Reports of oppression in India were widely circulated; and the private fortunes rapidly accumulated, that were every day brought home from that country (fortunes large in themselves and exaggerated by report), were held by many sufficiently to prove the truth of the charges.

The British Ministry, at that moment, contained no man of extraordinary talent, and its members were averse to any extensive views of civil polity: besides, they had their hands too full of American affairs, and of internecine quarrels, which ran very high, to leave them any wish to launch into the wide ocean of Indian concerns, of which, in common with all the rest of the nation, they were profoundly ignorant. At the same time, the progress of events made it necessary that something should be attempted. So early as May, 1771, the Ministers, who were aware that from no individual could so much and so sound information and advice be received as from Lord Clive, had shown a desire to confer with him. As he had always been a steady supporter of the politics of Mr. Grenville, who had long been in opposition, he was not then in habits of personal communication with any of the leading members of the Government. To obviate this difficulty recourse was had to Mr. Wedderburn, the Solicitor-General and Lord Clive's personal friend, who wrote him a letter[168], in which he observes, "There are no public news in town. We had a little mobbing last night[169], but not to any great excess. My neighbour, the Speaker, had his windows mauled exceedingly; but, by great good fortune, the gentlemen were so busy with his that they left mine untouched.

"Lord Rochford[170], a few days ago, desired that I would ask your Lordship if you would allow him to talk over Indian affairs with you. He says that it is his duty to bestow more attention than has hitherto been employed upon an object of the utmost consequence to the nation, and that he wishes to improve or to form his ideas from your conversation. I told him it was uncertain when you would return to town; but I was persuaded, your zeal for the public service would incline you to assist Government with your advice, whenever that subject was taken into serious consideration. I believe the answer was such as your Lordship would have wished me to make; and I must do him the justice to say, he held a very proper language upon the subject of India, and seemed to feel the importance of it."

Lord Clive, in his answer[171], observes, "I am happy to find Lord Rochford thinks so justly of the importance of our possessions in the East Indies; and yet in these times of (discord) and confusion, much, I fear, cannot be expected from his laudable endeavours to benefit the public by securing and improving our acquisitions in those parts. When I returned to England in the year 1767, my thoughts were much taken up with the flattering prospect of assisting Government to complete a work which I had only begun; and I intimated as much to the King in a private audience which I was honoured with soon after my arrival; but a tedious and severe illness prevented me from carrying my ideas into execution, and afforded me leisure for reflection. The result was, that I soon perceived that unless a settled administration, possessed of both resolution and power adequate to the object, undertook thoroughly to engage Parliament in the business, no material advantage could be obtained for the nation by any light I could give. After my recovery, I had many conversations with Mr. Grenville upon the subject, who, to the last, was of the same way of thinking. Mr. Strachey has, with the materials I have furnished him, undertaken that task; but I think he cannot complete the work in less than eighteen months. You are acquainted with my design of going to the Spa, and spending the next winter in Italy. I can only be in London a few days at the latter end of July. If that time should be convenient to Lord Rochford, and he will signify his pleasure by a few lines, I shall be ready to pay my respects to his Lordship, and give him all the verbal information in my power."

A severe return of ill health seems to have prevented Lord Clive from visiting the Spa, and, probably, from meeting Lord Rochford. But the continuation of unfavourable reports from India, and the approaching meeting of Parliament, made the Ministers more desirous than ever of some communication of opinions with him. The Solicitor-General accordingly wrote his Lordship the following letter:—

"My dear Lord,

"I have been confined to the house since my arrival in town, by a cold, till this morning, that I was obliged to go to Lord North's. As soon as the business which brought me to him was finished, he began upon the subject of the East Indies; to which, he said, the attention of Administration was now very seriously turned. He seemed to feel strongly the necessity of taking some steps immediately for the preservation of so important an object, and the difficulty of forming any proper measure for that purpose. From the tenor of the conversation it appeared to me that no idea had as yet presented itself that could be the foundation of any plan; and he expressed the strongest wish to receive that instruction upon the subject which your Lordship alone can give him. I took it upon me to say that your Lordship had never given any Administration reason to think that you would decline doing that service to the public, but that you had never been called upon; nor had it ever appeared to be an object of real attention to Government. He seemed very desirous that I should acquaint you how much it was now become the object of their most earnest attention, and that it would give him the utmost satisfaction to be able to form his own ideas upon yours. I did not undertake the commission with so much frankness as I should have done, if it had been only to go from Downing Street to Berkeley Square; and this evening I received the enclosed letter, which I was desired to convey to your Lordship.

"From Lord North's I went to Lord Rochford, who took up the same subject, and, as his manner is, with more eagerness than the other. He desired me to tell your Lordship, that he had employed himself in forming a Précis of the Indian affairs, which he wished to communicate to you; that he was convinced you thought alike with him as to the evils that now subsist, and that you knew, much better than he could, what were the proper remedies for them.

"I have related to you, as shortly as I could, the purport of two pretty long conversations, to which I can add very little of my own observation, having scarcely seen any body till this morning; except that I understand a great many plans are forming by different people upon this subject, which, it is generally supposed, must, in some manner, be taken up this winter. I heard of no specific proposition that had been mentioned to Government, in either of my conversations, except the old one of a Triennial Direction, which, to be sure, by itself, will not mend the matter very much. It is now certain, what you always supposed, that the Duc de Choiseuil had determined[172] to begin his attack in the East Indies, and the blow would have been struck at Bengal.

"It might seem odd if I omitted to say to your Lordship, upon the former part of my letter, that I am very much persuaded, both the ministers I have seen, and particularly the last, will pursue any plan you point out. I have had other conversations with him formerly, upon the general state of Indian affairs, and his ideas seem to coincide very much with yours. Lord North seems to be quite open upon the subject, and as he has no prejudice to bias him, I should form the same conclusion with regard to him.

"Lincoln's Inn Fields,
29th Oct. 1771."

On the 14th of November Mr. Wedderburn writes to Lord Clive: "I delivered your Lordship's letter to L.N., who seemed to be extremely happy by the manner in which you received his application. From the inquiries which he made about your engagements in the country, I imagine he is very desirous of seeing you in town. But that matter rests more properly with him, and I only said I was very sure you would be very ill pleased to be brought up to no purpose. The other Lord is in the country this week, but returns on Monday next. I should conjecture that his ideas are more forward upon the affairs of the East than your correspondent's. I am told that the Directors have compromised the affair of the tea-duties with the Treasury; but they have not done me the honour to acquaint me upon what terms, though in the outset of the business, I had some share in bringing about an agreement for the Company. There seems to be a good deal of ill-humour at present against the Directors, which they may feel the effects of, if the alarm at the present state of affairs in India is not quieted soon."

The party then in power among the Directors was hostile to Lord Clive, who for several years, chiefly by the weight of his personal influence, had excluded them from office. Mr. Sulivan, who was their leader, and some others, bore him the most rancorous personal animosity. It is not improbable that they had heard of the communication thus opened between Lord Clive and the Ministers, and that considering it as pregnant with consequences prejudicial to their own interests, they resolved to take some decided step to palsy the effects of his authority in the discussions that were approaching. Perhaps the slight paid to Mr. Wedderburn, and alluded to in the foregoing extract, may be traced to his intimacy with Lord Clive, or even to his supposed agency in bringing about a meeting with the Ministers.

However that may be, just a fortnight before the meeting of Parliament, Lord Clive, without having had any previous communication made to him on the part of the Directors, received a dry official letter[173] from the Company's Secretary, informing him that the Court of Directors had lately received several papers containing charges respecting the management of the Company's affairs in Bengal, wherein his Lordship was made a party; enclosing copies of them, and acquainting his Lordship, that if he had any observations to make, the Court of Directors would be glad to receive them as expeditiously as might be convenient for his Lordship.

Lord Clive, on perusing these charges, which were anonymous, at once perceived the purpose for which they were thus seasonably made and communicated. In his answer, which he addressed to the Court of Directors, he remarks,—"You have not been pleased to inform me from whom you received these papers, to what end they were laid before you, what resolution you have come to concerning them, nor for what purpose you expect my observations upon them.

"I shall, however, observe to you, that upon the public records of the Company, where the whole of my conduct is stated, you may find a sufficient confutation of the charges which you have transmitted to me; and I cannot but suppose, that if any part of my conduct had been injurious to the service, contradictory to my engagements with the Company, or even mysterious to you, four years and a half since my arrival in England would not have elapsed before your duty would have impelled you to call me to account."

The charges were those which he afterwards enumerated and repelled in his speech in the House of Commons on the 30th of March following.

The resolution of Ministers to call the public attention to Indian affairs was sufficiently indicated in the Speech from the Throne[174], in which the affairs of the East India Company were plainly alluded to. "The concerns of this country," his Majesty was made to say, "are so various and extensive, as to require the most vigilant and active attention; and some of them, as well from remoteness of place as from other circumstances, are so peculiarly liable to abuses and exposed to danger, that the interposition of the Legislature for their protection may become necessary. If in any such instances, either for supplying defects or remedying abuses, you shall find it requisite to provide any new laws, you may depend upon my ready concurrence in whatever may best contribute to the attainment of these salutary ends." Mr. Vane, who seconded the Address in the House of Commons, insisted that the malversation of the East India Company's servants called loudly for interposition; that new laws and regulations were become necessary; that at present the Company had not sufficient powers over their servants to enforce obedience to their orders, or to prevent them from accumulating enormous fortunes at the expense of their masters; and that their exorbitances in other respects might, in their consequences, occasion the entire loss of those distant dominions to Great Britain. The subject was not, however, immediately taken up by any Member, and some time passed without any further reference to that part of his Majesty's Speech.

But it was not dropped. On the 30th March, Mr. Sulivan, who was then Deputy Chairman of the Court of Directors, moved for leave to bring in a bill "for the better regulation of the affairs of the East India Company, and of their servants in India, and for the due administration of justice in Bengal." He said that the object of the bill was to restrain the Governor and Council from all trade; and to establish a proper mode of administering justice, by extending the authority of the Court of Justice at Calcutta over all Bengal. It was alleged by those who supported the motion, that the bad state of our affairs in India was owing to the little power which the Court of Directors had to punish their servants, either for disobedience of orders, or for malpractices in the country; that the power of trading that had been granted to the Governors, when we had mere factories on the sea-coast, was no longer suitable to their duties, now that they were called upon to govern our wide and important dominions; that their interests and duties had become inconsistent; and that the system for the administration of public justice in Bengal was quite insufficient for its objects: and, in the course of the debates, many reflections were cast out, and charges made or insinuated, against former Governors of the country. On the other hand, it was contended that inquiry should precede legislation; that the House was not in possession of facts to guide it aright; that inquiry would probably show that the evils were too deep-seated to be remedied by the proposed bill; and, especially, that the Court of Directors, and the General Courts of Proprietors, were themselves much to blame for many of the evils complained of; that the sending out a few persons, learned in the laws of England, as judges, to such a country, was quite inadequate to the end in view; above all, as it was not yet determined by what laws the inhabitants were to be governed.[175]

Many of the most important changes in the bill had long before been suggested by Lord Clive to the Company. But he disapproved of others of its details, and still more of the arguments by which it was supported. He had long been an object of attack and hostility to those by whom the bill was introduced. The late communication from the Court of Directors left him no doubts of their feelings; and, as he saw himself not obscurely aimed at, both in the motion and in the speeches in support of it, he took occasion to enter into a long justification of his conduct from the charges that had been recently brought against him. These charges were known to the public; and he wished to take the most public and solemn mode of answering them.

"It is with great diffidence," said he, "that I attempt to speak to this House; but I find myself so particularly called upon, that I must make the attempt, though I should expose myself in so doing. With what confidence can I venture to give my sentiments upon a subject of such national consequence, who myself stand charged with having been the cause of the present melancholy situation of the Company's affairs in Bengal? This House can have no reliance on my opinion, whilst such an impression remains unremoved. The House will, therefore, give me leave to remove this impression, and to endeavour to restore myself to that favourable opinion which, I flatter myself, they entertained of my conduct before these charges were exhibited against me. Nor do I wish to lay my conduct before the members of this House only; I speak, likewise, to my country in general, upon whom I put myself, not only without reluctance, but with alacrity."

After mentioning the critical and dangerous situation of the Company's affairs, when in 1764 he was called upon, by a General Court, to leave his family and the enjoyment of wealth and ease, to take upon himself the management of their affairs in a distant and unhealthy climate (an undertaking in which he engaged from a point of honour, and from a principle of gratitude), he observes, that on his arrival in Bengal he found his powers disputed by the Council; that in the discharge of his difficult duty three paths lay before him: the first, to take the government as he found it, and carry it on upon the same principles; by which he might have returned to England with an immense fortune, but condemned by justice and honour: the second, to have given up the commonwealth, and to have left Bengal without an effort to save it. "The third path," says he, "was intricate. Dangers and difficulties were on every side. But I resolved to pursue it. In short, I was determined to do my duty to the public, although I should incur the odium of the whole settlement. The welfare of the Company required a vigorous exertion, and I took the resolution of cleansing the Augean stable.

"It was this conduct," he exclaims, with truth and boldness, "which has occasioned the public papers to teem with scurrility and abuse against me, ever since my return to England. It was that conduct which occasioned these charges. It was that conduct which enables me now to lay my hand upon my heart, and most solemnly to declare to this House, to the gallery, and to the whole world at large, that I never, in a single instance, lost sight of what I thought the honour and true interest of my country and the Company; that I was never guilty of any acts of violence or oppression, unless the bringing offenders to justice can be deemed so; that as to extortion, such an idea never entered into my mind; that I did not suffer those under me to commit acts of violence, oppression, or extortion; that my influence was never employed for the advantage of any man, contrary to the strictest principles of honour and justice; and that, so far from reaping any benefit myself from the expedition, I returned to England many thousand pounds out of pocket,—a fact of which this House will presently be convinced."

He then entered into a detail of the charges themselves, and of the strange way in which they had been communicated to him by the Directors. The charges, it appears, were four. The first was, a monopoly of cotton. "Trade," says he, "was not my profession. My line has been military and political. I owe all I have in the world to my having been at the head of an army; and as to cotton, I know no more about it than the Pope of Rome."

The second charge was for a monopoly of diamonds. He observes, that at that period there were only two ways by which a servant of the Company could, with propriety, remit his fortune to England; by bills on the Company, or by diamonds: that, in consequence of his own successful endeavours, the Company's treasury was so rich, that it did not receive money for such bills: that he, therefore, sent an agent into a distant and independent country to purchase diamonds, that he might be able to remit the amount of his jaghire. "These diamonds," says he, "were not sent home clandestinely. I caused them to be registered; I paid the duties upon them; and these remittances, upon the whole, turned out 3 per cent. worse than bills of exchange upon the Company. This is all I know of a monopoly of diamonds."

The third charge was, frauds in the exchange, and in the gold coinage. This, he said, was a subject very much out of his sphere, as he was totally unacquainted with the proportion of alloy and the mixture of metals. That the Select Committee was apprehensive of the country being drained of silver, and, knowing that there was much gold in different quarters, hoped to make it circulate as coin. "Hence the establishment of the gold currency," he continues. "Whether it answered our purpose or not, I cannot say, as I did not remain in Bengal long enough to experience the effect of it; but this I know, that the assay and mint-master, by whose judgment we were guided, was a very able and a very honest man, and has, I understand, given a full and satisfactory explanation of his plan to the Court of Directors. With regard to myself, I shall only assert, that I did not receive a farthing advantage from it, and that I never sent a single rupee or gold mohur to be coined in my life.

"The fourth charge has this extraordinary title, 'A monopoly of salt, betle-nut, and tobacco, and other commodities, which occasioned the late famine.' How a monopoly of salt, betle-nut, and tobacco, in the years 1765 and 1766 could occasion a want of rain and scarcity of rice in the year 1770, is past my comprehension. I confess I cannot answer that part of this article; and as to the other commodities, as they have not been specified, I cannot say any thing to them." He then entered into an explanation regarding the monopoly of salt, its origin, objects, and effects, and defended his conduct and that of the Select Committee in every circumstance, ascribing the opposition which their measures met with to ignorance, prejudice, and mistaken views. He contended that, in the circumstances of the country, it was the only fund left for adequately paying the higher servants; that it was faithfully and judiciously applied to that purpose; and that it was attended with no injury or increase of taxation to the people, who, by the plan of the society, were to receive it at as moderate a rate as they had ever done in former times. Finally, he showed that he had strictly conformed to a resolution made before leaving England,—not to return in any degree enriched by his expedition to India; and for that purpose had exhibited the state of his whole receipts as Governor, including his share in the Society of Trade, as well as his expenditure; by which it appeared, that of the proceeds one portion was divided among Mr. Maskelyne, Mr. Strachey, and Mr. Ingham, three gentlemen who had accompanied him to India, the two latter his private secretary and family surgeon; and all the residue applied in part payment of his necessary expenses as Governor; and that, so far from returning home with any pecuniary benefits, he had really incurred a loss of 5,816l. 16s. 9d.

As insinuations had been used regarding his conduct in acquiring the property which he had devoted to establish a fund for relief of the Company's disabled officers and soldiers, and their widows,—a subject which, he remarks, he would have been ashamed to touch on, as carrying with it an appearance of vanity, were not his honour and reputation so much at stake,—he proceeded to show, that, by the opinions of the first lawyers in England, and, among others, of the Speaker of the House, his acceptance of the legacy of Meer Jaffier in no respect interfered with any of his covenants or engagements; that the amount was his own sole and indisputable property; and that the Court of Directors acknowledged, confirmed, and acted upon that right: in short, that the donation which he had made for improving the Company's military service, so far from being an object of blame, was a free gift of upwards of 70,000l. out of his private purse.

Having thus triumphantly concluded his defence against the charges that referred more immediately to himself, he expressed a fear of encroaching on the patience of the House, in what he had to say on the important business more immediately before them; but was loudly called upon to go on. He then took a view of the general accusations brought against the Company's servants; accusations in which the Court of Directors had loudly joined. The justice of many of these he did not deny, but argued that the offences arose in general less from the characters of the individuals, to which they had been ascribed, than from the unfortunate circumstances of their situation, which exposed them to temptations that it was nearly impossible for human nature to resist: that a change of system was the remedy, and that that must proceed from the Court of Directors and the Government: that in the richest country in the world, where the power of the English had become absolute, where no inferior approached his superior but with a present in his hand, where there was not an officer commanding his Majesty's fleet, nor an officer commanding his Majesty's army, nor a Governor, nor a member of Council, nor any other person, civil or military, in such a station as to have connection with the country Government, who had not received presents, it was not to be expected that the inferior officers should be more scrupulous. The abuses to which, in a country containing fifteen millions of inhabitants, a revenue of 4,000,000l., and trade in proportion, such a practice gave rise, he described in the liveliest terms; as well as the artifices by which the wily native gradually draws on the inexperienced and unthinking youth, on his first arrival in the country, till he gets him in his power: and to the natives, protected by such men, he ascribes the acts of violence and oppression that had been committed; not to the masters, who were for the most part ignorant of them. He reminded the House that as to the conduct of these young men, on whom the Directors were desirous of shifting the blame, neither their parents nor the Directors themselves were guiltless. "The advantages arising from the Company's service," said he, "are now very generally known, and the great object of every man is to get his son appointed a writer to Bengal, which is usually at the age of sixteen. His parents and relations represent to him how certain he is of making a fortune; that my Lord Such-a-one and my Lord Such-a-one acquired so much money in such a time, and Mr. Such-a-one and Mr. Such-a-one so much in such a time. Thus are their principles corrupted at their very setting out; and, as they generally go a good many together, they inflame one another's expectations to such a degree, in the course of the voyage, that they fix upon a period for their return, before their arrival." After describing the career of luxury and extravagance into which they are seduced by their artful banyan[176], who takes advantage of the influence he acquires to commit acts of violence and oppression, he adds, "Hence Sir, arises the clamour against the English gentlemen in India. But look at them in a retired situation, when returned to England, when they are no longer nabobs and sovereigns of the East: see if there be any thing tyrannical in their dispositions towards their inferiors; see if they are not good and humane masters. Are they not charitable? Are they not benevolent? Are they not generous? Are they not hospitable? If they are, thus far, not contemptible members of society, and if in all their dealings between man and man their conduct is strictly honourable, ... may we not conclude, that if they have erred, it has been because they were men placed in situations subject to little or no control?...

"But if the servants of the Company are to be loaded with the demerit of every misfortune in India, let them also have the merit they are entitled to. The Court of Directors, surely, will not claim the merit of those advantages which the nation and the Company are at present in possession of. The officers of the navy and army have had great share in the execution; but the Company's servants were the Cabinet Council who planned every thing, and to them also may be ascribed some part of the merit of our great acquisitions."

After having shown that the system was more to blame than the men, that much of the defect of regulation and control which rendered abuses inevitable in India was owing to the very persons who were loudest in their complaints, he next turned the attention of the House to the state of India itself; a country which, he affirmed, yielded a clear produce to the public and to individuals of between two and three millions sterling per annum. He asked what could be substituted for this, were it lost; and pointed to the dangers it actually ran, during a recent difference with the French Court. But it was certain, that our affairs in Bengal were in a very deplorable condition. This he ascribed to mismanagement. The public trade he showed, from official returns, to have more than doubled since the acquisition of the dewannee; while the inland trade, upon which the happiness and prosperity of the people must chiefly depend, had, by a change of system, and under pretence of freedom of trade, been thrown into total confusion, as the Company's servants and their agents had in reality taken it into their own hands, and, by trading not only as merchants but as sovereigns, had taken the bread out of the mouth of thousands of native merchants, whom they reduced to beggary. By official returns he proved that, since the acquisition of the dewannee, the revenues had suffered but a very inconsiderable decrease; while in every year since he left Bengal there had been a rapid increase in the military and civil charges, which threatened to consume the whole of the collections, and leave no surplus whatever. "Here," says he truly, "lies the danger. The evil is not so much in the revenues falling short, as in the expenses increasing. The best means of raising the revenues is to reduce the civil and military charges.... It is not the simple pay of officers and men upon the civil and military establishment which occasions our enormous expense, but the contingent bills of contractors, commissaries, engineers, &c., out of which, I am sure, great savings might be made.... Every man now, who is permitted to make a bill, makes a fortune. These intolerable expenses have alarmed the Directors, and persuaded them to come to Parliament for assistance. And, if I mistake not, they will soon go to the Administration and tell them they cannot pay the 400,000l., and that they must lower the dividends to the Proprietors."