Q. Consider the following:

1. The 1717 farman by Mughal Emperor Farrukhsiyar allowed the British East India Company to trade in Bengal without paying customs duties.
2. The exemption was extended to all Indian merchants operating in Bengal.
3. The Company was required to pay an annual sum of 3,000 rupees.
4. This privilege contributed to the Company's economic and political dominance in Bengal.

Which of the above statements is/are correct?
Answer: Only 1, 3 and 4
Notes: The 1717 farman by Farrukhsiyar granted the East India Company customs-free trade in Bengal on payment of 3,000 rupees annually (statements 1 and 3). This did not extend to Indian merchants, so statement 2 is incorrect. These privileges enabled the Company to increase its economic and political power in Bengal (statement 4). Thus, statements 1, 3, and 4 are correct.