This was the first time the administration of the East India Company had been brought under the direct control of the British government. Pitt's India Act places East India Company under a government-appointed Board of Control and forbids interference in native affairs, to check territorial expansion. The Board would comprise three directors who would be responsible to the British government. The East India Company’s agents in India would only concern themselves with commercial matters, and day-to-day administration.
Editors. "William Pitt's India Act". The Literary Encyclopedia. First published 01 January 2010
[http://www.litencyc.com/php/stopics.php?rec=true&UID=4208, accessed 19 May 2013.]