During the time of Lord Cornwallis, as per the Zamindari system,
- The demand of the government on the revenue collected by the Zamindars was fixed at 70 percent.
- If a Zamindar failed to pay to the government its demand on the due date, his Zamindari was auctioned.
Which of the statements given above is/are correct?
-
1 only
-
2 only
-
Both 1& 2
-
Neither 1 nor 2
B
Correct answer
Explanation
Under Cornwallis' Permanent Settlement (1793), the government's demand was fixed at 89% of the revenue collection, not 70%. Statement 1 is therefore incorrect. Statement 2 is correct - the Permanent Settlement included a strict provision that if Zamindars failed to pay the government's fixed demand on the due date, their estate could be auctioned to recover the revenue. This created immense pressure on Zamindars and led to many defaults.