Solution:The above statement is false. The East India Company did not allow company weavers to work with other buyers. When an order was placed, the weavers received loans to pay for the raw materials needed for their manufacture. Those who took out loans were required to give the Gomastha their manufactured textiles. They were unable to deliver it to another merchant. Weavers happily accepted the advances hoping to earn more money as loans poured in and the market for exquisite textiles grew.
The correct statement would be that The East India Company did not allow company weavers to work with other buyers.