The British government has been left by the late Mahratta war in a most glorious situation. They are the sovereigns of a great part of India, the protectors of the principal powers, and the mediators by treaty of the disputes of all. The sovereignty they possess is greater, and their power is settled upon more permanent foundations, than any before known in India; all it wants is the popularity which, from the nature of the institutions and the justice of the proceedings of the government, it is likely to obtain, and which it must obtain, after a short period of tranquillity shall have given the people time and opportunity to feel the happiness and security which they enjoy. _Dispatch, Jan. 16, 1804._ * * * * * _British "Moderation" in India._ I declare that, when I view the treaty of peace,[2] and its consequences, I am afraid it will be imagined that the moderation of the British government in India has a strong resemblance to the ambition of other governments. [Footnote 2: After the Mahratta war.] _Jan. 29, 1804._ * * * * * _Contrast between European and Asiatic Policy._ European governments were, till very lately, guided by certain rules and systems of policy so accurately defined and generally known, that it was scarcely possible to suppose a political event, in which the interest and conduct of each state would not be as well known to the corps diplomatique, in general, as to the statesmen of each particular state. The Asiatic governments do not acknowledge, and hardly know of, such rules and systems. Their governments are arbitrary; the objects of their policy are always shifting; they have no regular established system, the effect of which is to protect the weak against the strong; on the contrary, the object of each of them separately, and of all of them taken collectively, is to destroy the weak; and if by chance, they should, by a sense of common danger, be induced for a season to combine their efforts for their mutual defence, the combination lasts only so long as it is attended with success; the first reverse dissolves it; and, at all events, it is dissolved long before the danger ceases, the apprehension of which originally caused it. The company's government in India, the other contracting party to their alliance, is one bound by all the rules and systems of European policy. The company's power in India is supposed to depend much upon its reputation; and although I do not admit that it depends upon its reputation, as distinguished from its real force, as appears to be contended by some, I may say that it is particularly desirable for a government, so constituted as the company's, never to enter upon any particular object, the probable result of which should not be greatly in favour of success.