the demands for the manufactures, and inferences. Here is found the grand crithe material aid afforded to the revenue. terion from which to form a judgment It is, therefore, I have the greater satis- of the advantage which the empire defaction in bringing to view its prosperous rives from this immense traffic. The disstate in every point. The credit of the covery is of importance, that notwithcompany has always stood high in the standing the convulsion by which the opinion of the Chinese merchant; for, commercial world has been long agitated, notwithstanding at one period the arrear the trade from the East to this country to them was considerable, their confidence has flourished from year to year, and is has not diminished, and no interruption has still flourishing in an eminent degree, occurred: if that was the case under such realizing every expectation held out on circumstances, the situation of affairs in the establishment of the present system, China, at this time must be admitted to and justifying the measures hitherto wear a very pleasing aspect. The balance adopted for its extension. The progresowing at Canton, in 1798, was 1,073,607.: sive increase of the sales has been noticed by the accounts upon the table, there was at the proper times. The comparison of a balance in favour of the company of no the sales in 1784-5, and by the last ac less than 1,226,079. arising from cash in counts, gives the most correct idea of the Treasury, goods in warehouse or afloat the amazing improvement within that homeward, or advances for future invest- period. In 1784-5, the aggregate of the ments; making a difference, in that pe- sales was 4,605,775l.; in 1800-1, it was riod, of no less than 2,299,686/. The 10,323,4521.; which is an increase of consequence is highly propitious. The 5,717,677. Lest it be objected that the exchange upon India has materially be- comparison is made on a period peculiarly nefited; and an opportunity has been favourable, I will take it on the average afforded the government of Bengal to of the last three years. In this view, the make the attempt to turn this favourable sales amount to 10,275,439/. exhibitcircumstance to the utmost advantage in ing still an improvement of 5,669,6641. every possible respect. The effect has which, in both cases, would have been been already felt in the revival of the yet more favourable, but for the operatrade in opium, the principal demand for tion of the act passed in 1799, respecting which is in these seas. It has also been the customs, as already explained. experienced in other branches of Indian produce. While every facility of export is given from our own provinces, the Canton treasury is opened for bills on the several presidencies, so that the consigner is assured of the return of the proceeds of his adventure. The bullion heretofore sent from Europe to China may go to India, to the enrichment of our posses. sions there: it will therefore appear, that the benefits resulting from this trade will not be merely confined to this country, but will be extended, in a great degree, to every part of the dominions in the East. The view of this trade, on a comparison with its amount in the year 1784, is particularly favourable to my present object. The sales, in the year 1784-5, of which tea formed the principal part, amounted to 2,219,000l. In the year 1800-1, they were 3,616,000l.; the progressive increase, since the passing the Commutation act, was last year noticed to the committee. If the attention is directed to the state of the affairs at home, on which I shall now offer a few remarks, every ground is afforded for the most satisfactory in Having given a cursory view of the very flattering situation of the affairs of the company, both in their political and commercial relations, it yet remains to answer a question which must naturally arise:From whence it results, that, in the midst of all this prosperity, the financial statements for the three last years have worn so unfavourable an aspect, with regard to India, as to disbursement, and to the accumulation of debt? The very precise explanations given in each year on these points, will greatly lessen the difficulty of making the reply. I have, therefore, only to quote them in abstract. I must, however, take leave to offer one previous remark;-that the company, in their political capacity, are most peculiarly circumstanced. Possessed (as they truly are) of extensive dominions, enjoying likewise the advantage of beneficial alliances, yielding together immense resources, large and expensive establishments are required, not only for the administration of the government, but likewise for the collection of the revenues, and particularly for the protection of their territories, and the fulfilment of their engagements with their allies. Under these circumstances, even in time of peace, the outgoing must be great: still a considerable surplus revenue would be left for remittance to this country, through the channel of investments, for the purposes prescribed in the agree ement with the public. But, in the time of war, in India particularly, where the expenses attending military operations are beyond all proportion greater than in this country, every financial disposition for peaceable times must necessarily be completely deranged, the demands upon the treasuries must increase with the pressure of the times, while there is no possibility of procuring extraordinary aids in any proportion to the exigencies of the government. Thus circumstanced, no alternative remains but having recourse to loans, either to supply the deficiency, or to prevent an interruption of the usual course of the investment. This measure, though affording relief for the moment, tends to add to the difficulties, from the demand for interest. From this remark it will be inferred, that the war has been the chief cause of the present situation of the company's finances in India. This will be a kind of general answer to the question stated as likely to arise, but may not be quite sufficient: it is therefore necessary, to preserve an accordance with the comparative statement given of our advantages since the year 1784, to enter a little further into the particulars of the charges since that time, which will likewise give some satisfaction on another query, which will follow, of course, on the most essential parts of the financial system. If, after the general termination of hostilities, any hopes may be entertained that substantial benefits will accrue $ from our increased dominions and extended trade, so that the financial embarrassments may be done away, and the advantages held out to the public may be realized? again reduced within such limits as the circumstances of the time would admit. I will, therefore, take my retrospect from the year 1793, when, preparatory to the renewal of the charter, every source of revenue, and every item of charge, underwent, once more, a most narrow investigation; and an estimate was drawn up with every possible degree of accuracy, in order to ascertain what might be a proper arrangement between the public and the company in a time of peace. It would occupy too much time to enter into the detail of that arrangement, or of the estimate; I will only make such references to the estimate, as may be required for the explanation of the general heads of charge. On the comparison of the estimate made in 1793 with that for the year 1800-1, now upon the table, the results are found to differ in a material amount; notwithstanding the resources in the latter period, from the increase of the old revenues, the additions of those from the conquered provinces, and the new subsidies, exceeded those of the former in upwards of three millions sterling. From the explanation of the detail of the accounts, the committee must be aware, that this apparently alarming difference arises from the enormous increase of the expenditure. This subject, in particular, has constantly occupied my most vigilant attention, and the court of directors have always enjoined the strictest economy; but from the very time when the estimate of 1793 was framed, such has been the state of affairs, that it cannot properly be taken as a criterion of expense. The war and the engagements with our allies have necessarily occasioned an immense addition to the military charges, which have likewise been greatly increased by the additional allowances to the officers, under the regulations of 1796, and by subsequent grants of increased pay to the private Europeans, and to the native officers and sepoys at Madras. In the civil branches of the administration, great changes have also taken place: liberal allowances have been granted to offices of high trust and responsibility; the revenue and judicial departments have been entirely separated; and it will appear, on a minute investigation of the increased charge, that the part of it which may be looked upon as permanent, is to be attributed either to circumstances connected with the addition to the resources, or to the absolute prescriptions of policy and justice. A very considera- | India, in part of the period; under the cir ble part of the charge estimated for cumstance, likewise, of a general Euro1800-1, may be looked upon as temporary. pean war, from the year 1793; the inThe additional interest on the debts will ference is highly favourable to the mode cease as they shall be discharged; and I of administration and the more so when look with earnest hope to the reduction the great additional revenue, and the of the great expense of field operations, complete conquest of every enemy in the which may reasonably be expected, from East, are taken into the account. The debts the general tranquillity which, before this abroad are certainly much greater than at time, has probably taken place in every the first period of the comparison; but part of India. A further expectation the assets exhibit an excess still more conmay be entertained, that when peace siderable. At home, the favourable alshall generally take place, the necessity teration, in both respects, has been to will no longer exist for military establish such an amount as to form in some degree ments so extensive as at present. Partial the most serious part of the present finan reductions have already been ordered; cial embarrassment, inasmuch as what but when every practicable retrenchment appears to be the chief cause of the ap shall be made in the expenditure abroad, parent deterioration abroad, has contriand when that at home shall be relieved of buted to the amelioration at home, to an the war contingencies, means will be extent rendering it a matter of great imfound to recover the disorders in the finan-portance and some difficulty to restore the cial system, and to put the company in possession of every advantage, commensurate with all the general improvements, in other respects, which have been stated to the committee. My sentiments on the propriety of furnishing investments by means of loans, have formerly been distinctly given: they are still the same. The measure was proper at the time, but by no means so for permanent practice; and although the same measure has been pursued in the last year, I should hope the very considerable supplies which have now for several years been furnished from the Treasury in England, and which it appears the intention of the court to continue, will prevent the further accumulation of the Indian debt. The general state of the company's affairs, notwithstanding the increase of the expenses, and the accumulation of the debts in India, may be found, upon calculation, to have greatly amended within the periods of comparison. I have, upon a former occasion, brought to the notice of the committee, that the improvement under the operation of the present system, to the period of account then under consideration, was found to exceed eleven millions sterling: the alteration since not having been to any great amount, the amelioration may, on the same principle, be now taken at about the like sum. The additional capital must, as then noticed, be taken into the account, and some further adjustments will be required. If such has been the event, under the circumstances of two wars in balance. This cannot be expected fully to take place till the return of peace. It had, however, been an object of very particular attention on my part; and from the confidence I have in the ability of the company's resources, I was led to form an extensive plan, by which, upon calcula tions as accurate as can be expected upon mere estimate, the company would be enabled, in a few years, to restore the whole financial system to a state of the greatest prosperity; so that the debts in India would be discharged, the engage ments to the public would be fulfilled, and the ultimate operation would be the security of the full capital at the end of the present charter. I am fully aware that, in the judgment of some, my ex pectations will be pronounced too san guine, and perhaps to be such that their realization exceeds every degree of pro bability, or indeed possibility; as the rapid increase of the debt in the few last years must offer an insuperable bar to the accomplishment of events so desirable as those now pointed out. This considera tion, however, strengthens the ground of my proposition. If the loss of the sur plus revenue operated so quickly in an unfavourable degree, sure the acquisition of revenue must be allowed to have an equal effect in the recovery of the system, Difficulties of a formidable nature, of must be admitted, will be in the way the execution of a plan on so vast a scale, But these difficulties are only at the outset: once surmounted, no other ob struction need be apprehended, than such as no previdence or care on our part cal J possibly meet; and I have no fear of hazarding my opinion, that, should peace take place, and continue uninterrupted for a few years, and the trade remain in its present flourishing state, the realization of the whole of the advantages now stated may be safely reckoned upon, x provided the principles upon which the calculations are made are regularly attended to. The grand and leading features of this plan are 1st. An arrangement abroad, so that a full million from the surplus of the revenues shall, at the commencement, be applicable to the purchase of investments.-2dly. That the investments from India and China shall amount, at prime cost, to four millions annually, in equal proportions.-3dly. That, during the first four years from this time, the company shall avail themselves of the power they already have, under the act, for augmenting their capital stock to the extent of two millions, at the rate of half a million annually, which, it is supposed, will realize one million sterling.-4thly. That the additional money, so raised, shall be applied exclusively to the liquidation of the present Indian debt at interest, either by increasing remittances in bullion or export to India to that amount, or by defraying additional bills drawn from India for the same purpose.-5thly. That the extinction of this debt, now calculated to amount to fourteen millions sterling, shall be carried on at the rate of one million annually, till the part of it, termed the Decennial Loan, shall become payable, which is expected to take place on or about the year 1807-8; and that the sum then payable on account of Indian debt, which is stated at 3,500,000l. shall be discharged in that year: on which suppositions the debts at interest abroad will then be reduced to 4,500,000l.; at which amount it may be thought expedient to keep them stationary. The gradual reduction of the debt will add to the surplus of the revenues, by the diminution of the interest; and in the year 1808-9, the sum of two millions sterling may be applied to the in"vestments. The application of the surplus, thus increasing from year to year, will of course lessen the demand of India upon the home treasury, so that the ba lance of cash cannot fail of increasing to an immense amount. I have stated the great difficulty to lie in the outset; my estimate is so calculated. In the first year, no surplus re[VOL. XXXV.] venue is reckoned upon; the charges to be defrayed at home are all on a war establishment; the whole cost of the investment, four millions, is to be paid, and another million to be applied to payment of the debts, making together five millions, in aid of India. This must be furnished in exports; by the payment of bills to be drawn from abroad; and in whatever amount these, together, shall be found deficient, bullion must be remitted. In the second year, a surplus is expected in India of one million, and the freight is taken at a peace rate, and so continued from year to year, only lessening the amount to be paid at home on account of India, in proportion with the increase of the surplus from the revenues, as already mentioned. Ample allowance is made for the whole of the home charges in all the years; and if any unexpected additional charge should arise, the increasing balance of cash might be so employed, in the purchase of government securities, or otherwise, as to establish a fund fully sufficient to meet any peace contingency. If it be objected, that the trade is taken on too great a scale, which, according to present appearances, I cannot allow to be the fact; still, taking it at a less amount, say only three millions of investment, the operation would be highly favourable, though not to the extent at first stated; while the other effect would be, to render the plan more practicable, from the smaller demand on the home treasury for the prime-cost of the investments. These propositions, it must be observed, do not arise from any new theory; they are simply upon the system I laid down in the year 1793, and are only an extension of that system. The expectations I then entertained were not wholly disappointed, and would have been most completely realized, but for the various events which have been brought to the notice of the committee. The difference between that time and the present is highly favourable to the success of the system I wish to adopt. There then existed every appearance of war with our European enemies, who held possessions in different parts of India; our most inveterate and formidable enemy, Tippoo, was still invested with considerable power. We now reckon upon the prospect of peace, and have no immediate fear from any power in India. The summary abstract of what I have now brought to the notice of the committee is as follows:-An examination of the [5 D] tices." The learned gentleman entered into a brief explanation of the justice and expediency of the proposed bill. When, in consequence of an act of the legislature for the general security of the tranquillity and good order of the country, persons were, in the execution of a public duty, placed in such a situation, as to be either liable to punishment, or to be compelled to disclose what they were under the strongest of all obligations to conceal, it was matter of common justice to afford them a degree of protection which they could not enjoy according to the common forms of law. In this stage of the busi accounts upon the table, both abroad and at home;-the influence and power of the company in the year 1784, and at the present time; the acquisition of territory, and state of alliances;-of foreign relations; the improvement of the internal administration of their own dominions ;of the commerce in India, at China, and at home;-an explanation of the increase of the charges, and the prospect of again obtaining a surplus revenue;-the supplying investments by means of loans; the improvement of the company's affairs, under every event, during the periods of comparison; and, finally, the plan in contemplation on the return of peace.-ness, he should confine himself to an exIn retiring from my official connexion with the affairs of India, the committee will do me the justice to believe, that I can never be indifferent as to the success of the measures I have pointed out. I entertain on the subject the most sanguine expectations. Under other circumstances, I might, at the present moment, have felt deep regret, in the apprehension that new systems might have been introduced, and new theories applied to the administration of our Indian empire. I make no doubt, many things will be found to require improvement and correction, and none will rejoice more sincerely than I do, in the fame and glory of those who may be the instruments of those improvements. But I am perfectly satisfied, no radical change in the system I have pursued will be made, but on the fullest conviction of its propriety and under that impression I shall continue to contemplate, with heartfelt øy, every progressive improvement in our Indian concerns; reposing the most entire confidence in the talents and integrity of those whom his majesty has appointed to succeed to me in this important charge. Mr. Dundas then moved a series of Resolutions founded on the preceding statement, which, after a short conversation, were agreed to. Debate in the Commons on the Habeas Corpus Suspension Indemnity Bill.] May 27. The Attorney General (Mr. Law) rose, in consequence of the recommendation of the committee of secrecy, to move for leave to bring in a bill "for indemnifying such persons as since the 1st day of February 1793, have acted in the apprehending, imprisoning, or detaining in custody, in Great Britain, of persons suspected of high treason or treasonable prac L planation of its proposed extent of appli cation. It was his intention that it should be large, ample, and extensive, with the execution of the act which suggested the propriety of indemnity. Its operation was to apply to all who, in consequence of their conduct in the execution of the act, are liable to be impleaded; that, if impleaded, they might be enabled to stay proceedings; and that if judgment had been obtained against them, they might apply to stay execution. Mr. Grey observed, that the learned gentleman seemed to think that nothing was necessary to be said, but that the bill was an act of immediate justice; but it could not surely escape his attention, that what was styled an act of immediate jus tice might be an act of extreme oppres sion to many unfortunate individuals. In former periods it had been necessary to suspend the Habeas Corpus act, and the persons exercising the powers granted under such a suspension possessed the same claims to immediate justice as the present ministers. But it did not occur to his recollection, that legislative provi sion was adopted. It was incumbent, therefore, on the learned gentleman to show that to be now necessary which was not held to be so in former times. The principle of the bill was more in the spirit of hostility to the principles of the constitution, than any measure of the late administration. Viewing it in this light, he could not consent even to its introduc tion. The Attorney General observed, that there was a precedent in 1746, and ano ther in 1780: the language and the spirit of these two acts it was proposed to apply to the present case. Mr. Archdall quoted the authority of lord Somers to prove that there was no |