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The Diwani Grant and the Birth of British Taxation in India
In the aftermath of the Battle of Buxar in 1764, the East India Company secured the diwani, or revenue collection rights, for Bengal, Bihar, and Orissa from the Mughal emperor Shah Alam II. This episode explores how the Company transformed from a trading enterprise into a territorial power, the mechanics of the diwani grant, and its devastating consequences—including the Bengal Famine of 1770. Lucas and Luna discuss the key figures: Robert Clive, who negotiated the Treaty of Allahabad; Shah Alam II, the Mughal emperor who ceded his fiscal authority; and Warren Hastings, who later faced the…
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