It was the act of the British Parliament which renewed the charter issued to the British East India Company(EIC) and continued the Company’s rule in India.
Company’s trade monopoly was continued for further 20 years.
The governor general was given extensive powers over the subordinate presidencies.
Salaries for the staff and paid members of the Board of Control were also now charged to the company.
The East India Company was empowered to grant license to both individuals and company employees to trade in India.
This act recognized the courts and redefined their jurisdictions. The revenue administration was separated from the judiciary functions.
Governor-General was empowered to disregard the majority in the council in special circumstances. Commander in chief was not now the member of Governor General council, unless he was specially appointed to be a member by the court of directors.