A
SHORT VIEW
OF THE
LAWS
Now subsisting with Respect to the Powers of the
EAST INDIA COMPANY

LONDON:

Printed for W. Nicoll, in St. Paul's Church-Yard.
MDCCLXVII.

[Pg 1]

A short View, &c.

As many erroneous opinions have been industriously propagated withrespect to the powers of the East India Company to contract debts, Ithink it a duty to the Company and to the public, to give a fair stateof the laws now subsisting with respect to these matters, by which theprejudiced may be set to rights, the ignorant informed, and themalevolent deceivers of the public exposed and detected.

By act 9 and 10 William III. c. 44. § 75. the Company is allowed toborrow on the credit of the two millions lent to Government, but isrestrained from borrowing any greater sums than shall be employed intheir trade, without, however, any restriction as to the amount of suchborrowing, only such borrowing must be under common seal.

By § 86 of the same statute, the Company is directed to take care thatthe sum total of its debts do not exceed the amount of its funds andeffects, and if they shall reduce their funds and effects by dividends,so as not to leave sufficient to answer their debts, the persons whoreceive[Pg 2] the dividends are each made answerable to pay the debts, to theamount of the dividend respectively received.

By act 9 Ann, c. 17. § 2. The Company having lent to the public1,200,000l. more, they are allowed to borrow under their common seal,to the amount of 1,500,000l. above what they might lawfully borrow bythe preceding act.

By act 7 Geo. I. c. 5. § 32, the Company is allowed to borrow undertheir common seal for carrying on their trade or lending on bottomry, tothe amount of the sum due from the publick, or five millions.

By act 17 Geo. II. c. 17. § 8. the company having advanced one millionmore to government, the power of borrowing under their common seal, isextended to one million above what they might borrow before that act.

In consequence of these acts, the Company has always considered itselfentitled to borrow to the amount of six millions under its common seal.

By act 23 Geo. II. c. 22. § 5 and 6. the Company was authorized toconvert part of its bond debts into annuities, to the amount of4,200,000l. but it is declared that its power of borrowing granted byformer acts should continue in force, but that the amount of the annuityshould be computed as part of what they were empowered to borrow.[Pg 3]

In consequence of this last act, the Company did convert 2,992,440l.or near three mi