Choose given statement is true/false:

The East India Company obtained the Diwani rights of Bengal, Bihar, and Orissa.

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Detailed Solution

The above statement is True.
The East India Company obtained the Diwani rights of Bengal, Bihar, and Orissa. The economic condition of Bengal after the British obtained Diwani deteriorated. The first reason was the money-minded policy of the Company. They put a high tax on the peasants. Artisans were forced to sell their goods to the British at a very low price, leading them to leave the village. The worst was the famine of 1770 in Bengal. Almost 10 million people were killed. All of these resulted in the collapse of Bengal's economy.

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