The Anarchy: The Relentless Rise of the East India Company

by William Dalrymple

For this, above all, was the moment this corporate trading organisation succeeded in laying the ground for its territorial conquest of India. A business enterprise had now emerged from its chrysalis, transformed into an autonomous imperial power, backed by a vast army, already larger than that of the British Crown, and was poised now to exercise administrative control over 20 million Indians. A body of merchants had been transformed into the de facto sovereign rulers of much of northern India. As one contemporary observer put it: ‘Through many unexpected contingencies, an incorporated society of private traders [has become] a cabinet of Asiatic princes.’65 The result was what Adam Smith would call ‘a strange absurdity’ – a Company State.66 When, twenty years later, the tea merchant and traveller Thomas Twining stopped his boat trip up the Ganges to visit the now deserted site of the Battle of Buxar, he wrote in his diary that ‘here then may be said to terminate the extraordinary series of military achievements which brought the finest parts of Asia under the dominion of British merchants, who first appeared in the character of needy adventurers on the coasts of India. There are, perhaps, few events in history more remarkable than these transactions. Results so disproportionate to the means which produced them seem quite inexplicable.’67 Twining had a point. The Company had gambled everything – and won. The Mughal Empire now lay at its feet, comprehensively defeated, and th...