Political integration of India Political integration of India At the time of Indian independence in 1947, India was divided into two sets of territories, one under direct British rule, and the other under the suzerainty of the British Crown, with control over their internal affairs remaining in the hands of their hereditary rulers. The latter included 554 princely states, having different types of revenue sharing arrangements with the British, often depending on their size, population and local conditions. In addition, there were several colonial enclaves controlled by France and Portugal. The political integration of these territories into India was a declared objective of the
Colonial India Olson concludes that the East India Company's attempt to annexe and expand its direct control of India, by arbitrary laws such as Doctrine of Lapse, combined with employment discrimination against Indians, contributed to the 1857 Rebellion. The East India Company officers lived like princes, the company finances were in shambles, and the company's effectiveness in India was examined by the British crown after 1858. As a result, the East India Company lost its powers of government and British India formally came under direct British rule, with an appointed Governor-General of India. The East India Company was dissolved the following year