He was the sovereign of a larger territory than had obeyed any of his predecessors. His name was great in the farthest regions of the West. Here he had been made by Dryden the hero of a tragedy which would alone suffice to show how little the English of that age knew about the vast empire which their grandchildren were to conquer and to govern. The poet's Mussulman princes make love in the style of Amadis, preach about the death of Socrates, and embellish their discourse with allusions to the mythological stories of Ovid. The Brahminical metempyschosis is represented as an article of the Mussulman creed; and the Mussulman Sultanas burn themselves with their husbands after the Brahminical fashion. This drama, once rapturously applauded by crowded theatres, and known by heart to fine gentlemen and fine ladies, is now forgotten. But one noble passage still lives, and is repeated by thousands who know not whence it comes.155Though nothing yet indicated the high political destiny of the East India Company, that body had a great sway in the City of London. The offices, which stood on a very small part of the ground which the present offices cover, had escaped the ravages of the fire. The India House of those days was a building of timber and plaster, rich with the quaint carving and lattice-work of the Elizabethan age. Above the windows was a painting which represented a fleet of merchantmen tossing on the waves. The whole edifice was surmounted by a colossal wooden seaman, who, from between two dolphins, looked down on the crowds of Leadenhall Street.156 In this abode, narrow and humble indeed when compared with the vast labyrinth of passages and chambers which now bears the same name, the Company enjoyed, during the greater part of the reign of Charles the Second, a prosperity to which the history of trade scarcely furnishes any parallel, and which excited the wonder, the cupidity and the envious animosity of the whole capital. Wealth and luxury were then rapidly increasing. The taste for the spices, the tissues and the jewels of the East became stronger day by day. Tea, which, at the time when Monk brought the army of Scotland to London, had been handed round to be stared at and just touched with the lips, as a great rarity from China, was, eight years later, a regular article of import, and was soon consumed in such quantities that financiers began to consider it as a fit subject for taxation. The progress which was making in the art of war had created an unprecedented demand for the ingredients of which gunpowder is compounded. It was calculated that all Europe would hardly produce in a year saltpetre enough for the siege of one town fortified on the principles of Vauban.157 But for the supplies from India, it was said, the English government would be unable to equip a fleet without digging up the cellars of London in order to collect the nitrous particles from the walls.158 Before the Restoration scarcely one ship from the Thames had ever visited the Delta of the Ganges. But, during the twenty-three years which followed the Restoration, the value of the annual imports from that rich and populous district increased from eight thousand pounds to three hundred thousand.
The gains of the body which had the exclusive possession of this fast growing trade were almost incredible. The capital which had been actually paid up did not exceed three hundred and seventy thousand pounds; but the Company could, without difficulty, borrow money at six per cent., and the borrowed money, thrown into the trade, produced, it was rumoured, thirty per cent. The profits were such that, in 1676, every proprietor received as a bonus a quantity of stock equal to that which he held. On the capital, thus doubled, were paid, during five years, dividends amounting on an average to twenty per cent. annually. There had been a time when a hundred pounds of the stock could be purchased for sixty. Even in 1664 the price in the market was only seventy.
But in 1677 the price had risen to two hundred and forty-five; in 1681 it was three hundred; it subsequently rose to three hundred and sixty; and it is said that some sales were effected at five hundred.159The enormous gains of the Indian trade might perhaps have excited little murmuring if they had been distributed among numerous proprietors. But while the value of the stock went on increasing, the number of stockholders went on diminishing. At the tithe when the prosperity of the Company reached the highest point, the management was entirely in the hands of a few merchants of enormous wealth. A proprietor then had a vote for every five hundred pounds of stock that stood in his name. It is asserted in the pamphlets of that age that five persons had a sixth part, and fourteen persons a third part of the votes.160 More than one fortunate speculator was said to derive an annual income of ten thousand pounds from the monopoly; and one great man was pointed out on the Royal Exchange as having, by judicious or lucky purchases of stock, created in no long time an estate of twenty thousand a year. This commercial grandee, who in wealth and in the influence which attends wealth vied with the greatest nobles of his time, was Sir Josiah Child. There were those who still remembered him an apprentice, sweeping one of the counting houses of the City. But from a humble position his abilities had raised him rapidly to opulence, power and fame. At the time of the Restoration he was highly considered in the mercantile world.