The Works of the Right Honourable Edmund Burke, Vol. IX | Page 7

Edmund Burke
the said Warren Hastings.
That the said Warren Hastings created a nominal office of Resident at Goa, where the Company never had a Resident, nor business of any kind to transact, and gave the said nominal office to a person who was not a covenanted servant of the Company, with an allowance of 4,280l. a year.
That these instances are proofs of a criminal profusion and high breach of trust to the India Company in the said Warren Hastings, under whose government, and by means of whose special power, derived from the effect of his casting voice, all the said waste and profusion did take place.
That at the end of the year 1780, when, as the Court of Directors affirm, _the Company were in the utmost distress for money, and almost every department in arrear_, and when it appears that there was a great scarcity and urgent want of grain at Fort St. George, the said Warren Hastings did accept of a proposal made to him by James Peter Auriol, then Secretary to the Council, to supply the Presidency of Fort St. George with rice and other articles, and did appoint the said Auriol to be the agent for supplying all the other Presidencies with those articles; that the said Warren Hastings declared that the intention of the appointment "was most likely to be fulfilled by a liberal consideration of it," and therefore allowed the said Auriol a commission of fifteen per cent on the whole of his disbursements, thereby rendering it the direct interest of the said Auriol to make his disbursements as great as possible; that the chance of capture by the enemy, or danger of the sea, was to be at the risk of the India Company, and not of the said Auriol; that the said Warren Hastings declared personally to the said Auriol, "that this post was intended as a reward for his long and faithful services." That the President and Council of Bombay did remonstrate against what they called _the enormous amount of the charges_ of the rice with which they wore supplied, which they state to be nine rupees a bag at Calcutta, when they themselves could have contracted for its delivery at Bombay, free of all risk and charges, at five rupees and three sixteenths per bag; and that even at Madras, where the distress and demand was greatest, the supplies of grain by private traders, charged to the Company, were nineteen per cent cheaper than that supplied by the said Auriol, exclusive of the risk of the sea and of capture by the enemy. That it is stated by the Court of Directors, that the agent's commission on a supply of a single year (the said commission being not only charged on the prime cost of the rice, but also on the freight and all other charges) would amount to pounds sterling 26,873, and by the said Auriol himself is admitted to amount to 18,292l. That William Larkins, the Accountant-General at Port William, having been ordered to examine the accounts of the said agent, did report to the Governor-General and Council, that he found them to be correct in the additions and calculations; and that then the said Larkins adds the following declaration: "The agent being upon honor with respect to the sums charged in his accounts for the cost of the articles supplied, I did not think myself authorized to require _any voucher_ of the sums charged for the demurrage of sloops, either as to the time of detention or the rate of the charge, or of those for the articles lost in going down the river; and on that ground I thought myself equally bound to admit the sums acknowledged as received for the sales of goods returned, without requiring vouchers of the rates at which they were sold." That in this transaction the said Warren Hastings has been guilty of a high breach of trust and duty, in the unnecessary expenditure of the Company's money, and in subjecting the Company to a profusion of expense, at all times wholly unjustifiable, but particularly at the time when that expense was incurred. That the said Warren Hastings was guilty of breach of orders, as well as breach of trust, in not advertising generally for proposals; in not contracting indifferently for the supplies with such merchants as might offer to furnish them on the lowest terms; in giving an enormous commission to an agent, and that commission not confined to the prime cost of the articles, but to be computed on the whole of his charges; in accepting of the honor of the said agent as a sufficient voucher for the cost of the articles supplied, and for all charges whatever on which his commission was to be computed; and finally, in giving a
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