The Company made a proper system of administration. The Indian rulers did not have a proper system of administration. The Company took suggestions from pundits and maulvis before making new laws for criminal and civil cases. The Indian rulers seldom thought about respecting local sensibilities before making any rule.

(i) British territories were broadly divided into administrative units called Presidencies. There were three Presidencies like – Bengal, Madras & Bombay whereas under the Indian rulers administration was divided into four parts – District (Zila), Paragana, Tehsil and Villages.
(ii) Each administrative unit was ruled by a Governor.
(iii) The supreme head of the administration was the Governor-General, whereas under the Indian Administrative system the supreme head was King or Nawab.
(iv) Warren Hastings introduced the new system of justice. Each district was to have two courts- civil & criminal court.
(v) The European District Collector presided over civil courts.
(vi) The criminal courts were still under a Qazi and a Mufti.
(vii) Under the Regulating Act of 1773, a new supreme court was established.
(viii) The main figure in an Indian District was Collector.
(ix) According to his title Collector, his main job was to collect the revenue and the taxes and maintain law & order in his district with the help of judges, police officers and darogas.