Jagat Seth of Bengal: Banker of the world

[Black_cats]

Jagat Seth of Bengal: Banker of the world

The family of traders controlled half of Bengal’s economy and became the financial advisor to the nawabs

Raihana Sayeeda Kamal
04 February, 2020, 01:05 pm
Last modified: 04 February, 2020, 02:57 pm

https://tbsnews.net/feature/jagat-seth-bengal-banker-world-41777

The family of traders controlled half of Bengal’s economy and became the financial advisor to the nawabs
Heaps of non-performing loans, cash crunches and money laundering have weighed down Bangladesh's current banking sector. The present state of this sector is gloomy and fragile. However, 300 years ago, this sector was more systematically controlled by a single man named Jagat Seth.

Photos of different parts of the house of Jagat Seth/Collected
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Photos of different parts of the house of Jagat Seth/Collected
Even though the descendants of Jagat Seth were seen as the masterminds of hatching the Plassey conspiracy – shaking hands with Mir Jafar and the British imperialists – they are less recognised for their excellence in trade and banking. They emerged at a time when there was no conventional bank in the subcontinent.

The family of traders controlled half of Bengal's economy and became the financial advisor to the nawabs.

Photos of different parts of the house of Jagat Seth/Collected
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Photos of different parts of the house of Jagat Seth/Collected
The family's prosperity reached its peak during the time of Fateh Chand. However, the family's legacy was set out by Hirand Sahu, who turned into a money lender from a jeweler after travelling all the way from Naguar to Patna in search of a better living.

Hirand was a great financial manager. During his time, Patna was a prosperous city and an important business hub because of its riverways used for trade.


Photos of different parts of the house of Jagat Seth/Collected
Fateh Chand had surpassed all his predecessors in extensive networking and expertise in financial and banking matters. Emperor Mahmud Shah conferred upon him the title of Jagat Seth – banker of the world – for his extensive hundi network, monopoly in the currency business and expertise in banking operations.

From minting, selling and purchasing bullions, collecting revenue and remittances, and dealing with foreign traders, to controlling exchange rates and lending to emperors and zamidars – Jagat Seth's House operated much like the central bank of that time.

Photos of different parts of the house of Jagat Seth/Collected
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Photos of different parts of the house of Jagat Seth/Collected
Jagat Seth's estate was considered the king's treasure and he prospered and expanded his dominance over Bengal, Bihar and Orissa so rapidly that his family was compared to that of the Rothschilds in Europe. Jagat Seth's House was even compared to the Bank of England. The power and influence he exercised was believed to be second to that of the nawab. The nawabs had to take his advice on every important decision and expenditure.

Photos of different parts of the house of Jagat Seth/Collected
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Photos of different parts of the house of Jagat Seth/Collected
Though the title of Jagat Seth was bestowed on Fateh Chand, his later generations were also referred to by this title.

Describing their riches, Historian Ghulam Hussain Khan wrote, "Their wealth was such that there is no mentioning it without appearing to exaggerate and deal in extravagant fables."


Photos of different parts of the house of Jagat Seth/Collected
And a Bengali poet wrote, "As the Ganges pours its water into the sea by a hundred mouths, so wealth flowed into the treasury of the Sheths."

In addition to financial expertise, their political instincts were very sharp. They had the power to put someone on the throne and remove them.

Photos of different parts of the house of Jagat Seth/Collected
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Photos of different parts of the house of Jagat Seth/Collected
As it was a flourishing time for Bengal's trade and export, the Dutch, English, French, and Armenians came to Bengal for business – and the export trade was centrally controlled by Fateh Chand.

In 1722, during Fateh Chand's dominance, there was a currency crisis. The scarcity of silver coins led to a man-made famine which put thousands of people on the verge of death. In such a situation, Fateh Chand – in an agreement with the emperor – distributed hundi from his Delhi trading house. This hundi was treated the same as silver coins. Over time many nawabs came and left but the influence of Jagat Seth's family grew.

Photos of different parts of the house of Jagat Seth/Collected
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Photos of different parts of the house of Jagat Seth/Collected
During the Bargi invasion, they carried away three to four crore Arakan coins with them as their bounty. This was 30 to 40 million rupees of that time but the large amount did not deter the great Sheths from conducting their business.

Even the East India Company used Jagat Seth credit facilities. It is believed that between 1718 and 1730, the imperialist company borrowed, on average, Rs400,000 annually from the Jagat Seth, as mentioned by William Dalrymple in his book "The Anarchy."


Photos of different parts of the house of Jagat Seth/Collected
Understanding the mutual benefits of an alliance with Jagat Seths, the East India Company befriended Jagat Seth to establish imperialism in India. The mutual reciprocity of the two financial giants changed India's political course.

Photos of different parts of the house of Jagat Seth/Collected
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Photos of different parts of the house of Jagat Seth/Collected
When Sirajuddoula came into power, he began to alienate the Jagat Seths, who had long been the advisors of the nawabs. To remove Sirajuddoula from power, Jagat Seths – in alliance with Mir Jafar – sold the country to the East Indian Company. However, the act of treachery and disloyalty to their own country eventually brought about the great Jagat Seths' downfall.

Photos of different parts of the house of Jagat Seth/Collected
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Photos of different parts of the house of Jagat Seth/Collected
After Mir Jafar, his successor Mir Qasim ordered the assassination of the two Seth brothers – ending the luminous chapter of power and influence of the Jagat Seths in Bengal.

To know the rise and fall of the Jagat Seth's banking empire, scan the QR code and watch the YouTube video:

 

[Samlee]

Where Are His Descendants Now????

 

[Arthur]

Where Are His Descendants Now????

Got the short end of a stick by karma as they deserved.

 

[Sine Nomine]

That is a lesson for everyone,those who have conspired against own homeland have paid heavily in the end.

 

[Bilal9]

That is a lesson for everyone,those who have conspired against own homeland have paid heavily in the end.

 

[Bengal71]

The 'betrayal' of Mir Jafar is more of a travesty. Siraj was not a good guy and required removal. It was just the fateful time in history when the East India Company happened to be present in Bengal and was looking for the opportunity. Unfortunately for us and fortunately for them the opportunity just presented itself. Were it any other time, no historian would bat an eye about it. Same kind of conspiracies and removals happened for thousands of years throughout the whole world, specially Islamic world.

 

[Black_cats]

The 'betrayal' of Mir Jafar is more of a travesty. Siraj was not a good guy and required removal. It was just the fateful time in history when the East India Company happened to be present in Bengal and was looking for the opportunity. Unfortunately for us and fortunately for them the opportunity just presented itself. Were it any other time, no historian would bat an eye about it. Same kind of conspiracies and removals happened for thousands of years throughout the whole world, specially Islamic world.

Shiraz was just 19 or 20 at that time. How come he became a bad guy? Some allegation was he was busy with woman in early teens. Considering the period he were in and as one of richest prince that was not uncommon in South Asia and any other places of the world.

 

[Bengal71]

P

Shiraz was just 19 or 20 at that time. How come he became a bad guy? Some allegation was he was busy with woman in early teens. Considering the period he were in and as one of richest prince that was not uncommon in South Asia and any other places of the world.

He wasn't only busy with his women in his harem, he was disturbing other women too. But even if we say he was a saint, Mir Jafar conspiring to remove him and become the Nawab himself is not enough to call him a traitor to his country. He was not a traitor to his country, the worst that can be said is he betrayed the reigning Nawab. That was business as usual in those times. He conspired with the Brits knowing he was going to be the Nawab, he didn't think in his worst nightmare that he would become a puppet and the Brits were going to be the actual rulers. I don't blame Mir Jafar as a traitor, a man's guilt is commensurate with his intention and knowledge of the situation and the foreseeable future.

 

[Bilal9]

The 'betrayal' of Mir Jafar is more of a travesty. Siraj was not a good guy and required removal. It was just the fateful time in history when the East India Company happened to be present in Bengal and was looking for the opportunity. Unfortunately for us and fortunately for them the opportunity just presented itself. Were it any other time, no historian would bat an eye about it. Same kind of conspiracies and removals happened for thousands of years throughout the whole world, specially Islamic world.

Well if you read the history - Mir Jafar actually paid off Clive for putting himself in the Bengal Musnad. It was some unbelievable amount that made Clive the richest man in England at that time and made all the East India Company Englishmen more or less 'on the take', corrupt and used to being liable to take bribes.

This emptying of the treasury in Bengal Subah led to a series of famines and untold sufferings in Bengal...

P


He wasn't only busy with his women in his harem, he was disturbing other women too. But even if we say he was a saint, Mir Jafar conspiring to remove him and become the Nawab himself is not enough to call him a traitor to his country. He was not a traitor to his country, the worst that can be said is he betrayed the reigning Nawab. That was business as usual in those times. He conspired with the Brits knowing he was going to be the Nawab, he didn't think in his worst nightmare that he would become a puppet and the Brits were going to be the actual rulers. I don't blame Mir Jafar as a traitor, a man's guilt is commensurate with his intention and knowledge of the situation and the foreseeable future.

The Mughal empire was facing a sunset, a weak period where no strong power was going to save either Mir Jafar Ali Khan or Miran (his son). In this power vacuum, East India Company was in a comfortable position to take over and of course Hindus (business people or otherwise) conspired for their own benefit to assist the Brits. Faida uthaney ka baat.

 

[bluesky]

Instead of going into emotional breakdown over Nawab Sirajuddoula and the Battle of Plassey, people should read more about the contribution of Mughal Emperor Shah Alam, Nawab Mir Qasim Ali Khan of Bengal and Nawab Shujauddoula of Ayudh.

But, their combined efforts failed at the Battle of Buxer in 1763. Plassey was just a prelude to it. However, we follow the gramophone drama recorded by D.L Roy. Read what wiki says of the Battle of Buxer and related happenings.

Please note also that Mir Qasim Ali Khan threw the four conspirators from the Fort of Munger. They were Jagat Seth Fatehlal, Roy Durlov, Raj Ballav and Amirchand who conspired with the British before the Battle of Plassey took place.

"The Battle of Buxar was fought on 22 October 1764, between the forces under the command of the British East India Company, led by Hector Munro, and the combined armies of Mir Qasim, the Nawab of Bengal till 1763. Mir Jafar was made the Nawab of Bengal for a second time in 1763 by the Company, just after the battle.

"After being defeated in 4 battles in Katwa, Giria and Udaynala, the Nawab of Awadh Shuja-ud-Daula and the Mughal Emperor Shah Alam II, accompanied by Raja Balwant Singh of Kashi made an alliance with Mir Qasim.[4] The battle was fought at Buxar, a "small fortified town" within the territory of Bihar, located on the banks of the Ganga river about 130 kilometres (81 mi) west of Patna; it was a decisive victory for the British East India Company".

"The British victory at Buxar had "at one fell swoop", disposed of the three main scions of Mughal power in Upper India. Mir Kasim [Qasim] disappeared into impoverished obscurity. Shah Alam realigned himself with the British, and Shah Shuja [Shuja-ud-Daula] fled west hotly pursued by the victors. The whole Ganges valley lay at the Company's mercy; Shah Shuja eventually surrendered; henceforth Company troops became the power-brokers throughout Oudh as well as Bihar".

 

[Michael Corleone]

The 'betrayal' of Mir Jafar is more of a travesty. Siraj was not a good guy and required removal. It was just the fateful time in history when the East India Company happened to be present in Bengal and was looking for the opportunity. Unfortunately for us and fortunately for them the opportunity just presented itself. Were it any other time, no historian would bat an eye about it. Same kind of conspiracies and removals happened for thousands of years throughout the whole world, specially Islamic world.

I’ll give it to you that he was a womanizer, rude imbecile with no leadership skills but he also wanted to free bengal from British influence. We bengals sided with the French in the Great War, battle of plassey is one small battle in that war... our defeat was sealed from the very beginning. Betrayal plays a role but not entirely

P


He wasn't only busy with his women in his harem, he was disturbing other women too. But even if we say he was a saint, Mir Jafar conspiring to remove him and become the Nawab himself is not enough to call him a traitor to his country. He was not a traitor to his country, the worst that can be said is he betrayed the reigning Nawab. That was business as usual in those times. He conspired with the Brits knowing he was going to be the Nawab, he didn't think in his worst nightmare that he would become a puppet and the Brits were going to be the actual rulers. I don't blame Mir Jafar as a traitor, a man's guilt is commensurate with his intention and knowledge of the situation and the foreseeable future.

If you don’t think he betrayed the country then you have no reason to blame Pakistan for East Pakistan’s stagnation or the subsequent Bangladeshi leaders incompetence. Fact is he betrayed his country, otherwise why would one of the richest country in the world be dirt poor today? as for issue of womanizing, dude from my 2 cents... when you have chance in the form of ( money, power or beauty) you’ll do these things no matter how self righteous you claim to be, you might claim to believe in love and all but once that becomes a lie to you, you’re bound to do these things. This is what my experience teaches me

Watch this from 8:47 as to how mir Zafar became a puppet... he was betrayed by the same people he consipired with ie the bankers