The Anarchy: The East India Company, Corporate Violence, and the Pillage of an Empire

by William Dalrymple

  With their own religion.

  Therefore I will destroy these demons

  Who have taken the form of Muslims,

  And I will spread the way of dharma fearlessly.96

  For many years the Mughal army fought back steadily, taking one Deccan hillfort after another, and for a while it looked like the imperial forces were slowly succeeding in crushing Maratha resistance as methodically as they did that of the Company. On 11 March 1689, the same year that the Emperor crushed the Company, Aurangzeb’s armies captured Sambhaji, the eldest son and successor of Shivaji. The unfortunate prince was first humiliated by being forced to wear an absurd hat and being led into durbar on a camel. Then he was brutally tortured for a week. His eyes were stabbed out with nails. His tongue was cut out and his skin flayed with tiger claws before he was savagely put to death. The body was then thrown to the dogs while his head was stuffed with straw and sent on tour around the cities of the Deccan before being hung on the Delhi Gate.97 By 1700, the Emperor’s siege trains had taken the Maratha capital, Satara. It briefly seemed as if Aurangzeb had finally gained victory over the Marathas, and, as the great Mughal historian Ghulam Hussain Khan put it, ‘driven that restless nation from its own home and reduced it to taking shelter in skulking holes and in fastnesses’.98

  But in his last years, Aurangzeb’s winning streak began to fail him. Avoiding pitched battles, the Marathas’ predatory cavalry armies adopted guerrilla tactics, attacking Mughal supply trains and leaving the slow, heavily encumbered Mughal columns to starve or else return, outmanoeuvred, to their base in Aurangabad. The Emperor marched personally to take fort after fort, only to see each lost immediately his back was turned. ‘So long as a single breath of this mortal life remains,’ he wrote, ‘there is no release from this labour and work.’99

  The Mughal Empire had reached its widest extent yet, stretching from Kabul to the Carnatic, but there was suddenly disruption everywhere. Towards the end it was no longer just the Marathas: by the 1680s there was now in addition a growing insurgency in the imperial heartlands from peasant desertion and rebellion among the Jats of the Gangetic Doab and the Sikhs of the Punjab. Across the Empire, the landowning zamindar gentry were breaking into revolt and openly battling tax assessments and attempts by the Mughal state to penetrate rural areas and regulate matters that had previously been left to the discretion of hereditary local rulers. Banditry became endemic: in the mid-1690s the Italian traveller Giovanni Gemelli Careri complained that Mughal India did not offer travellers ‘safety from thieves’.100 Even Aurangzeb’s son Prince Akbar went over to the Rajputs and raised the standard of rebellion.

  These different acts of resistance significantly diminished the flow of rents, customs and revenues to the exchequer, leading for the first time in Mughal history to a treasury struggling to pay for the costs of administering the Empire or provide salaries for its officials. As military expenses continued to climb, the cracks in the Mughal state widened into, first, fissures, then crevasses. According to a slightly later text, the Ahkam-i Alamgiri, the Emperor himself acknowledged ‘there is no province or district where the infidels have not raised a tumult, and since they are not chastised, they have established themselves everywhere. Most of the country has been rendered desolate and if any place is inhabited, the peasants have probably come to terms with the robbers.’101

  On his deathbed, Aurangzeb acknowledged his failures in a sad and defeated letter to his son, Azam:

  I came alone and I go as a stranger. The instant which has passed in power has left only sorrow behind it. I have not been the guardian and protector of the Empire. Life, so valuable, has been squandered in vain. God was in my heart but I could not see him. Life is transient. The past is gone and there is no hope for the future. The whole imperial army is like me: bewildered, perturbed, separated from God, quaking like quicksilver. I fear my punishment. Though I have a firm hope in God’s grace, yet for my deeds anxiety ever remains with me.102

  Aurangzeb finally died on 20 February 1707. He was buried in a simple grave, open to the skies, not in Agra or in Delhi but at Khuldabad in the middle of the Deccan plateau he spent most of his adult life trying,103 and failing, to bring to heel. In the years that followed his death, the authority of the Mughal state began to dissolve, first in the Deccan and then, as the Maratha armies headed northwards under their great war leader Baji Rao, in larger and larger areas of central and western India, too.

  Mughal succession disputes and a string of weak and powerless emperors exacerbated the sense of imperial crisis: three emperors were murdered (one was, in addition, first blinded with a hot needle); the mother of one ruler was strangled and the father of another forced off a precipice on his elephant. In the worst year of all, 1719, four different Emperors occupied the Peacock Throne in rapid succession. According to the Mughal historian Khair ud-Din Illahabadi, ‘The Emperor spent years – and fortunes – attempting to destroy the foundations of Maratha power, but this accursed tree could not be pulled up by the roots.’

  From Babur to Aurangzeb, the Mughal monarchy of Hindustan had grown ever more powerful, but now there was war among his descendants each seeking to pull the other down. The monarch’s suspicious attitude towards his ministers and the commanders habitual interfering beyond their remit, with short-sighted selfishness and dishonesty, only made matters worse. Disorder and corruption no longer sought to hide themselves and the once peaceful realm of India became a lair of Anarchy.104

  On the ground, this meant devastating Maratha raids, leaving those villages under Mughal authority little more than piles of smoking cinders. The ruthlessness and cruelty of these guerrilla raids were legendary. A European traveller passing out of Aurangabad came across the aftermath of one of these Maratha attacks:

  When we reached the frontier, we found all put to fire and sword. We camped out next to villages reduced to ashes, an indescribably horrid and distressing scene of humans and domestic animals burned and lying scattered about. Women clutching their children in their arms, men contorted, as they had been overtaken by death, some with hands and feet charred, others with only the trunk of the body recognisable: hideous corpses, some char-grilled, others utterly calcined black: a sight of horror such as I had never seen before. In the three villages we passed through, there must have been some 600 such disfigured human bodies.105

  Yet if the Marathas were violent in war, they could in times of peace be mild rulers.106 Another French traveller noted, ‘The Marathas willingly ruin the land of their enemies with a truly detestable barbarity, but they faithfully maintain the peace with their allies, and in their own domains make agriculture and commerce flourish. When seen from the outside, this style of government is terrible, as the nation is naturally prone to brigandage; but seen from the inside, it is gentle and benevolent. The areas of India which have submitted to the Marathas are the happiest and most flourishing.’107 By the early eighteenth century, the Marathas had fanned out to control much of central and western India. They were organised under five chieftains who constituted the Maratha Confederacy. These five chiefs established hereditary families which ruled over five different regions. The Peshwa – a Persian term for Prime Minister that the Bahmani Sultans had introduced in the fourteenth century – controlled Maharashtra and was head of the Confederacy, keeping up an active correspondence with all his regional governors. Bhonsle was in charge of Orissa, Gaekwad controlled Gujarat, Holkar dominated in central India and Scindia was in command of a growing swathe of territory in Rajasthan and north India. The Marathas continued to use Mughal administrative procedures and practices, in most cases making the transition to their rule so smooth it was almost imperceptible.108

  In the face of ever-growing Maratha power, Mughal regional governors were increasingly left to fend for themselves, and several of these began to behave as if they were indeed independent rulers. In 1724, one of Aurangzeb’s favourite generals and most cherished protégés, Chin Qilich Khan, Nizam ul-Mulk, left Delhi without the sanction
of the young Emperor Muhammad Shah and set himself up as the regional Governor in the eastern Deccan, defeating the rival Governor appointed by the Emperor and building up his own power base in the city of Hyderabad. A similar process was under way in Avadh – roughly present-day Uttar Pradesh – where power was becoming concentrated in the hands of a Shia Persian immigrant, Nawab Sa’adat Khan, and his Nishapur-born nephew, son-in-law and eventual successor, Safdar Jung. Uncle and nephew became the main power brokers in the north, with their base at Faizabad in the heart of the Ganges plains.109

  The association of both governors with the imperial court, and their personal loyalty to the Emperor, was increasingly effected on their own terms and in their own interests. They still operated under the carapace of the Mughal state, and used the name of the Emperor to invoke authority, but on the ground their regional governates began to feel more and more like self-governing provinces under their own independent lines of rulers. In the event both men would go on to found dynasties that dominated large areas of India for a hundred years.

  The one partial exception to this pattern was Bengal, where the Governor, a former Brahmin slave who had been converted to Islam, Murshid Quli Khan, remained fiercely loyal to the Emperor, and continued annually to send to Delhi half a million sterling of the revenues of that rich province. By the 1720s Bengal was providing most of the revenues of the central government, and to maintain the flow of funds Murshid Quli Khan became notorious for the harshness of his tax-collecting regime. Defaulters among the local gentry would be summoned to the Governor’s eponymous new capital, Murshidabad, and there confined without food and drink. In winter, the Governor would order them to be stripped naked and doused with cold water. He then used to ‘suspend the zamindars by the heels, and bastinado [beat] them with a switch’. If this did not do the trick, defaulters would be thrown into a pit ‘which was filled with human excrement in such a state of putrefaction as to be full of worms, and the stench was so offensive, that it almost suffocated anyone who came near it … He also used to oblige them to wear long leather drawers, filled with live cats.’110

  As the country grew increasingly anarchic, Murshid Quli Khan found innovative ways to get the annual tribute to Delhi. No longer did he send caravans of bullion guarded by battalions of armed men: the roads were now too disordered for that. Instead he used the credit networks of a family of Marwari Oswal Jain financiers, originally from Nagar in Jodhpur state, to whom in 1722 the Emperor had awarded the title the Jagat Seths, the Bankers of the World, as a hereditary distinction. Controlling the minting, collection and transfer of the revenues of the empire’s richest province, from their magnificent Murshidabad palace the Jagat Seths exercised influence and power that were second only to the Governor himself, and they soon came to achieve a reputation akin to that of the Rothschilds in nineteenth-century Europe. The historian Ghulam Hussain Khan believed that ‘their wealth was such that there is no mentioning it without seeming to exaggerate and to deal in extravagant fables’. A Bengali poet wrote: ‘As the Ganges pours its water into the sea by a hundred mouths, so wealth flowed into the treasury of the Seths.’111 Company commentators were equally dazzled: the historian Robert Orme, who knew Bengal intimately, described the then Jagat Seth as ‘the greatest shroff and banker in the known world’.112 Captain Fenwick, writing on the ‘affairs of Bengal in 1747–48’, referred to Mahtab Rai Jagat Seth as a ‘favourite of the Nabob and a greater Banker than all in Lombard Street [the banking district of the City of London] joined together’.113

  From an early period, East India Company officials realised that the Jagat Seths were their natural allies in the disordered Indian political scene, and that their interests in most matters coincided. They also took regular and liberal advantage of the Jagat Seths’ credit facilities: between 1718 and 1730, the East India Company borrowed on average Rs400,000 annually from the firm.* In time, the alliance, ‘based on reciprocity and mutual advantage’ of these two financial giants, and the access these Marwari bankers gave the EIC to streams of Indian finance, would radically change the course of Indian history.114

  In the absence of firm Mughal control, the East India Company also realised it could now enforce its will in a way that would have been impossible a generation earlier. Even in the last fraying years of Aurangzeb’s reign there had been signs that the Company was becoming less respectful of Mughal authority than it had once been. In 1701, Da’ud Khan, the Governor of the newly conquered Carnatic, complained about the lack of courtesy on the part of the Madras Council who, he said, treated him ‘in the most cavalier manner … They failed to reflect that they had enriched themselves in his country to a most extraordinary degree. He believed that they must have forgotten that he was General over the province of the Carnatic, and that since the fall of the Golconda kingdom they had rendered no account of their administration, good or bad … Nor had they accounted for the revenues from tobacco, betel, wine et cetera, which reached a considerable sum every year.’115

  The Company’s emissary, Venetian adventurer Niccolao Manucci, who was now living as a doctor in Madras, replied that the EIC had transformed a sandy beach into a flourishing port; if Da’ud Khan was harsh and overtaxed them, the EIC would simply move its operations elsewhere. The losers would be the local weavers and merchants who earned his kingdom lakhs* of pagodas each year through trade with the foreigners. The tactic worked: Da’ud Khan backed off. In this way the EIC prefigured by 300 years the response of many modern corporates when faced with the regulating and taxation demands of the nation state: treat us with indulgence, they whisper, or we take our business elsewhere. It was certainly not the last time a ruler on this coastline would complain, like Da’ud Khan, that the ‘hat-wearers had drunk the wine of arrogance’.

  Nine years later, the EIC went much further. In response to the seizure of two Englishmen and a short siege by the Mughal Qiladar (fort keeper) of Jinji, the factors of Fort St David, a little to the south of Madras, took up arms. In 1710, they rode out of their fortifications near Cuddalore, broke through Mughal lines and laid waste to fifty-two towns and villages along the Coromandel coast, killing innocent villagers and destroying fields of crops containing thousands of pagodas of rice awaiting harvest which, the Governor of Madras proudly reported, ‘exasperated the enemy beyond reconciliation’. This was perhaps the first major act of violence by Englishmen against the ordinary people of India. It was two years before the EIC was reconciled with the local Mughal government, through the friendly mediation of the French Governor of Pondicherry. The directors in London approved of the measures taken: ‘The natives there and elsewhere in India who have, or shall hear of it, will have a due impression made upon their minds of the English Courage and Conduct, and know that we were able to maintain a War against even so Potent a Prince.’116

  In Bengal, Murshid Quli Khan had also become disgusted by the rudeness and bullying of the increasingly assertive Company officials in Calcutta and wrote to Delhi to make his feelings plain. ‘I am scarce able to recount to you the abominable practices of these people,’ he wrote.

  When they first came to this country they petitioned the then government in a humble manner for the liberty to purchase a spot of ground to build a factory house upon, which was no sooner granted but they ran up a strong fort, surrounded it with a ditch which has communication with the river and mounted a great number of guns upon the walls. They have enticed several merchants and others to go and take protection under them and they collect a revenue which amounts to Rs100,000* … They rob and plunder and carry a great number of the king’s subjects of both sexes into slavery.117

  By this time, however, officials in Delhi were occupied with more serious worries.

  Delhi in 1737 had around 2 million inhabitants. Larger than London and Paris combined, it was still the most prosperous and magnificent city between Ottoman Istanbul and imperial Edo (Tokyo). As the Empire fell apart around it, it hung like an overripe mango, huge and inviting, yet clearly in decay, ready t
o fall and disintegrate.

  Despite growing intrigue, dissension and revolt, the Emperor still ruled from the Red Fort over a vast territory. His court was the school of manners for the whole region, as well as the major centre for the Indo-Islamic arts. Visitors invariably regarded it as the greatest and most sophisticated city in South Asia: ‘Shahjahanabad was perfectly brilliant and heavily populated,’ wrote the traveller Murtaza Husain, who saw the city in 1731. ‘In the evening one could not move one gaz [yard] in Chandni Chowk or the Chowk of Sa’adullah Khan because of the great crowds of people.’ The courtier and intellectual Anand Ram Mukhlis described the city as being ‘like a cage of tumultuous nightingales’.118 According to the Mughal poet Hatim,

  Delhi is not a city but a rose Garden,

  Even its wastelands are more pleasing than an orchard.

  Shy, beautiful women are the bloom of its bazaars,

  Every corner adorned with greenery and elegant cypress trees.119

  Ruling this rich, vulnerable empire was the effete Emperor Muhammad Shah – called Rangila, or Colourful, the Merry-Maker. He was an aesthete, much given to wearing ladies’ peshwaz and shoes embroidered with pearls; he was also a discerning patron of music and painting. It was Muhammad Shah who brought the sitar and the tabla out of the folk milieu and into his court. He also showered his patronage on the Mughal miniature atelier neglected by Aurangzeb and his successors, commissioning bucolic scenes of Mughal court life: the palace Holi celebrations bathed in fabulous washes of red and orange; scenes of the Emperor going hawking along the Yamuna or visiting his walled pleasure gardens; or, more rarely, holding audiences with his ministers amid the flowerbeds and parterres of the Red Fort.120

  Muhammad Shah somehow managed to survive in power by the simple ruse of giving up any appearance of ruling: in the morning he watched partridge and elephant fights; in the afternoon he was entertained by jugglers, mime artists and conjurors. Politics he wisely left to his advisers and regents; and as his reign progressed, power ebbed gently away from Delhi, as the regional Nawabs began to take their own decisions on all important matters of politics, economics, internal security and self-defence.