Regulating Act, 1773:

•Company Retains Possessions: This act permitted the company to retain its territorial possessions in India but sought to regulate the activities and functioning of the company.

•Control over Indian Affairs: Through this act, for the first time, the British cabinet was given the right to exercise control over Indian affairs.

•Introduction of Governor-General: It changed the post of Governor of Bengal to “Governor-General of Bengal”.

•The administration in Bengal was to be carried out by the governor-general and a council consisting of 4 members.

•Warren Hastings was made the first Governor-General of Bengal.

•The Governor of Bombay and Madras now worked under the Governor-General of Bengal.

•Establishment of Supreme Court: A Supreme Court of judicature was to be established in Bengal (Calcutta) along with appellate jurisdictions where all subjects could seek redressal.

•It comprised one chief justice and three other judges.

•In 1781, the Act was amended and the Governor-General, the Council and the servants of the government were exempted from the jurisdiction if they did anything while discharging their duties.