The Charter Act 1793 or the East India Company Act 1793 was passed by British Parliament to renew the charter of East India Company. This act authorized the company to carry on trade with India for next 20 years.
More Powers to Governor General:
In this act, the Governor General was empowered to disregard the majority in the Council in special circumstances. Thus more powers were entrusted in him. The Governor General and respective governors of the other presidencies could now override the respective councils, and the commander in chief was not now the member of Governor General’s council, unless he was specially appointed to be a member by the Court of Directors.
Provisions Regarding Company:
The company was allowed to increase its dividend to 10%. A provision in the Charter act of 1793 was made that the company, after paying the necessary expenses, interest, dividend, salaries, etc from the Indian Revenues will pay 5 Lakh British pounds annually out of the surplus revenue to the British Government. However, the act also had a provision, that Crown could order the application of the whole of the revenue for the purpose of defense if the circumstances posed such demands. Expenses, interest, dividend, salaries, etc were to be borne by the Indian Exchequer. If a high official departed from India without permission, it was to be treated as resignation.
Separation of revenue and judiciary functions:
This act reorganized the courts and redefined their jurisdictions. The revenue administration was divorced from the judiciary functions and this led to disappearing of the Maal Adalats.