MODULE I

THE CHARTER OF 1661

The Company spent 60 years of trade in India and facing of problem control
over that the Englishmen who were not the workers of company. But they were
trading in Indian Territory and were residing in British colonies.

Therefore, the company put on the demand before the British King to make
such legal instrument for controlling their colonies and its institutions and
penalize to that person who were interloper (law breakers).

The Company’s trade was growing continuously in India. Apart from this
company was taking interest in political conflicts and took benefits of internal
rebels and splitting.

The British King Charles II realized the weak condition of Indian rulers. The
income of the Company was very beneficial to British fund and it was become
necessary to give extra facilities. The growth of income was depended on the
legal adjudication system.

With view of all things the Charter of 1661 had been issued on third April,
1661. So, that it was called the judicial Charter. The Charter of 1600 C.E. had
become a milestone and it was first step to establish the Judicial Court in
British India. This Charter entrusted law-making power into the Company.
During the year 1661 Charles II issued a new charter which increased the
authority of the Company and that it was allowed "to keep away and exercise
power and command over its fortresses" in India.
By the Charter of 1661, the company was empowered to appoint Governor
and Council to decide civil and criminal cases of all persons of the
company.
The Governor and his Council were given general judicial authority "to judge
all persons belonging to the said Governor and Company or that shall live under
them in all cases, whether civil or criminal according to the laws of this
kingdom and to execute judgment accordingly
Charter of 1661 gave the East India Company power to make peace or war with
non-Christians, erect fortifications, and seize interlopers. Thus, it will be seen
that various aspects of sovereignty were conferred by the first Charter of sixteen
hundred and they were further extended by the Charter of 1661.
The second Charter of 1661 gave East India Company the power to coin
money, to administer justice and to punish the interlopers. It also
empowered the Company to constitute Governor’s council and appoint other
officers for their government. The Governor and councils were authorized to
administer justice in all causes, civil as well as criminal, according to the laws
of the kingdom and to execute judgment accordingly. Charter of 1661 gave the
East India Company power to make peace or war with non-Christians, erect
fortifications, and seize interlopers. Thus, it will be seen that various aspects of
sovereignty were conferred by the first Charter of sixteen hundred and they
were further extended by the Charter of 1661.
THE MAIN FEATURE OF CHARTER OF 1661 AD
1. Right to Administration. –
 The Charter empowered to the Company to administrate over the
Fort, Colonies and cities. If it is expedient to maintain the
administration could fought the war with Indian local King and could
make the peace treaty.
 Company was authorized for that if any person who interferes in the
trade monopoly of Company be sent to Britain for starting litigation.
2. Appointment of Officer:
 Company was authorized to appoint the Governor and officers for
judicial administration over all subjects as well as workers of
Company.
 Every person equally punished for the breach of law and orders of
Company.
3. Security.-
 Company was enabled by this Charter that it could keep the armed
forces, weapons, and fighters ship for itself security.
 Company could keep the commander and other officers who were
suitable for Governor and his Council and they were convenience for
trading purposes.
4. Judicial Administration.-
Following rights were given to Governor and his Council: That they could
adjudicate and execute accordance with the English law in cases which is
there under:
a) Cases concerned with company,
b) Matters within the limits of Company, and
 c) All the cases of civil and criminal nature.
5. The direction was given by this Charter that the governor and his Council
will apply the English law in all cases. Those Indian who was residing in
their colonies the also will be governed by this English law. It was very
arbitrary compliance of English law and orders of upon the Indians. That
was very undesirable.
6. Punishment. –
 The Charter of 1600 AD provided very simple punishment. But the
Charter of 1661 enabled to Governor and his Council to penalize with
the punishment of hanging in the heinous crime.
 Wherever the Governor and his Council was not constituted the
accused was sent for nearby Governor and his Council or sent to
Britain for trial.