FORMATION OF A RIVAL COMPANY

67 expansive power of this great branch of the national trade. The appearance in India of a second and rival Com- pany created serious internal complications. Each as- sociation did its utmost to ruin the other; each hoisted THE OLD EAST INDIA HOUSE (1796-1858). the English flag and sent an embassy to contend for the Moghul emperor's patronage at his court; while the local governors played off one against the other, favour- ing each Company alternately, and taking bribes impar- tially from both. This discreditable and damaging con- test was at last closed by the union of the two Com- panies, which was effected through Godolphin's inter-