As per the second Treaty of Allahabad (August 1765), the Mughal Emperor Shah Alam IT was taken under the company’s protection and was to reside at Allahabad. He was assigned Allahabad and Kada ceded by the Nawab of Oudh. The Emperor issued an order dated 12th August, 1765 granting Company the Diwani of Bengal, Bihar and Orissa in return the company had to made an annual payment of Rs 26 Lakhs to him and provide Rs 53 Lakhs for the expenses of the Nizamat. During this time Robert Clive was Governor of Bengal. The emperor’s order legalized the political authority of company in Bengal and British rule expanded all over India including Delhi. Successors of Shah Alam II i.e. Akbar IT (1806-37) and Bahadurshah II (1837 -57) became pensioners of East India Company. ....Read more