Answer :

The Bengal was afflicted with a terrible famine:


• The peasants, farmers and artisans led a life of poverty during these years.


• The Dual Government system initiated by Robert Clive in Bengal destroyed its economy.


• The employees of East India Company were misusing their privileges and amassed great wealth.


• The administrative control in the Bengal was crippled.


• So, the company had to borrow massive loan from Britain, leading to the intervention of the British government.


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