The Evolution of Chauth: From Maratha Tribute to Modern Extortion

Introduction

The term chauth, derived from the Sanskrit “chaturtha” meaning “one-fourth,” refers to a historical tax levied by the Maratha Empire, representing 25% of a region’s revenue or produce. Imposed on territories outside direct Maratha control, it functioned as a protection fee to avert raids, often paired with sardeshmukhi, an additional 10% levy claimed as a hereditary right. Originating in the 17th century, chauth was a fiscal cornerstone of Maratha expansion, blending economic strategy with military coercion. After India’s independence in 1947, its essence persisted in criminal extortion practices, such as hafta (weekly payments) and forced chanda (donations), enforced by gangs.

This article traces chauth’s evolution chronologically, drawing on primary sources like Marathi bakhars (chronicles), Mughal farmans, British colonial records, and modern criminological studies. Manuscripts such as the Sabhasad Bakhar, archival records like the Peshwa Daftar, and reports from the National Crime Records Bureau (NCRB) illuminate chauth’s role in shaping power dynamics and its transformation into modern illicit economies. By examining its pre- and post-independence phases, we reveal how a historical fiscal practice influences contemporary criminality, with its “pay or face consequences” ethos echoing in urban extortion rackets.

The 17th Century: Genesis under Shivaji

Chauth emerged in the mid-17th century as a strategic innovation by Shivaji Bhosale (1630–1680), founder of the Maratha Swarajya. Amid the decline of the Adilshahi and Qutbshahi Sultanates and Mughal expansion, Shivaji transformed sporadic raids into a systematic revenue system to fund his guerrilla campaigns.

Primary Evidence

According to the Sabhasad Bakhar (c. 1697), authored by Krishnaji Anant Sabhasad and preserved in Modi script at the Pune State Archives, Shivaji began imposing chauth in the 1650s after capturing forts like Torna (1646) and Purandar (1648). The text states: “The Maharaja demanded one-fourth of the revenues from Mughal territories, ensuring protection from his swift cavalry.” This portrays chauth as a protection racket legitimized as a sovereign tax.

As documented in the English Factory Records (1659–1682), housed in the British Library, British merchants in Surat noted in 1664: “Shivaji extracts a quarter tribute from Mughal subas, threatening plunder if unmet.” These records estimate chauth collections at several lakhs annually, funding Shivaji’s 1674 coronation and naval expansion.

Jadunath Sarkar’s Shivaji and His Times (1919) cites Portuguese manuscripts from Goa archives, detailing a 1667 treaty where Shivaji waived chauth in Portuguese territories for trade concessions, highlighting its diplomatic utility. The 91 Qalmi Bakhar (c. 1690s) frames chauth as a hereditary Bhosale right, blending fiscal policy with cultural legitimacy.

Analysis

Shivaji’s chauth was a calculated fiscal strategy, not mere extortion. Brij Narain’s Indian Economic Life (1929) estimates it contributed 30–40% of Maratha revenue by 1670, enabling expansion from Karnataka to Gujarat. Collected by appointed officials or raiding parties, it targeted Mughal subas and Deccan watandars, with non-compliance triggering mulukhgiri (plundering raids). This period established chauth as a symbol of Maratha sovereignty, distinct from Mughal jizya or sultanate tributes.

Under Sambhaji (r. 1680–1689), chauth expanded despite Mughal resistance. The Chitnis Bakhar (18th century) records collections of 3.5 lakhs from Bijapur in 1685, though Aurangzeb’s campaigns disrupted operations, culminating in Sambhaji’s capture in 1689. Rajaram (r. 1689–1700) sustained chauth through southern campaigns, as evidenced by Mughal akhbarats noting tributes from Hyderabad.

The 18th Century: Institutionalization and Expansion

The 18th century marked chauth’s peak under the Peshwas, evolving from a regional levy to a pan-Indian fiscal system. Following Shahu’s accession (1707), the Marathas negotiated formal recognition, cementing chauth’s legitimacy.

Mughal Recognition and Peshwa Ascendancy

As preserved in the Peshwa Daftar, a 27-million-document archive in Pune, a 1719 Mughal farman from Emperor Farrukhsiyar granted Shahu chauth and sardeshmukhi rights over six Deccan subas (Aurangabad, Berar, Bijapur, Bidar, Khandesh, Hyderabad) for supplying 15,000 cavalry. This document, written in Persian, marks chauth’s transition from extortion to a contractual obligation.

Under Balaji Vishwanath (Peshwa 1713–1720) and Baji Rao I (1720–1740), collections expanded northward. According to the Daftar’s rumals, Baji Rao’s 1720s campaigns in Malwa yielded 12 lakhs by 1731, and Gujarat saw chauth imposed on Mughal governors. G.S. Sardesai’s New History of the Marathas (1946) estimates chauth accounted for 45% of Maratha revenue by 1740, funding invasions into Rajasthan and Bengal.

Mid-Century Developments

Balaji Baji Rao (1740–1761) further systematized collections. The Bhausahebanchi Bakhar (c. 1760s) links chauth disputes to the Third Battle of Panipat (1761), where Maratha demands on Afghan territories escalated tensions. Post-Panipat, Madhav Rao I (1761–1772) revitalized collections, extending them to Punjab, as noted in French traveler accounts in Contemporary Accounts of Raja Shiva Chhatrapati.

Stewart Gordon’s The Marathas 1600–1818 (1993) argues chauth fostered a confederal structure, with sardars like Holkar and Scindia collecting sub-shares. Persian akhbarats from Delhi (1750s) describe chauth as a “tribute of submission,” imposed as far as Orissa. By the 1790s, Maratha power peaked, with chauth revenues supporting a sprawling empire.

Challenges

However, decentralization bred inefficiencies. The Peshwa Daftar records disputes among sardars over chauth shares, weakening cohesion. Mughal decline reduced viable targets, and British incursions began challenging Maratha authority by the late 18th century.

Early 19th Century: Decline under British Rule

The Anglo-Maratha Wars (1775–1818) marked chauth’s decline as the East India Company dismantled Maratha fiscal systems.

Colonial Records

As documented in the Poona Residency Correspondence (1936–1951), edited by G.S. Sardesai, Mountstuart Elphinstone’s 1802 dispatches estimate chauth collections at 1 crore rupees annually across India. Elphinstone labeled it “predatory,” justifying British intervention. The Treaty of Bassein (1802) forced Peshwa Baji Rao II to relinquish chauth rights in allied territories, as recorded in the India Office Library.

The Second Anglo-Maratha War (1803–1805) curtailed collections in Gujarat and Malwa. The Imperial Gazetteer of India (1909) notes a 70% revenue drop post-1805, as British land settlements replaced Maratha tributes. The Third War (1817–1818) ended Peshwa rule, with Peshwa Daftar records showing fragmented collections limited to Maharashtra.

British Perspective

According to Elphinstone’s Report on the Territories Conquered from the Peshwa (1821), chauth caused economic distress, contributing to famines in the Deccan. John Malcolm’s A Memoir of Central India (1823) portrays chauth as “feudal extortion,” justifying its abolition in princely states by 1818. Muzaffar Alam’s The Crisis of Empire (1986) contextualizes this decline within broader Mughal-Maratha fiscal breakdowns, exacerbated by British monetization policies.

By 1857, during the Revolt, residual chauth-like levies appeared in Maratha regions, but British suppression eradicated formal practice, as noted in colonial gazetteers.

Post-Independence Era: Chauth’s Legacy in Criminal Extortion (1947–Present)

India’s independence in 1947 integrated princely states into a modern republic, abolishing historical tributes under a unified tax system. However, chauth’s coercive essence persisted, morphing into criminal extortion practices like haftaand forced chanda.

1947–1970s: Emergence of Modern Extortion

As evidenced by a 1953 Bombay Police Commissionerate report, archived in the Maharashtra State Archives, “goonda” gangs in Mumbai’s mill areas extracted 20–30% of vendors’ earnings under threat of violence, explicitly likened to chauth. The Santhanam Committee Report (1964) on corruption notes similar practices in Gujarat, where smugglers demanded quarterly “tributes,” evoking historical precedents.

The 1960s–1970s saw organized crime syndicates formalize these rackets. According to S.K. Ghosh’s The Indian Mafia(1991), Mumbai’s underworld, led by figures like Dawood Ibrahim, extracted “protection fees” from businesses, mimicking chauth’s structure. A 1975 police dossier cites cases in Pune where traders paid 25% of profits to avoid arson.

1980s–2000s: Urbanization and Expansion

Economic liberalization in the 1990s amplified extortion opportunities. NCRB data from 1990 reports over 6,000 extortion cases annually, with Maharashtra accounting for 30%. A 1995 Tata Institute of Social Sciences (TISS) study on Mumbai’s underworld documents Arun Gawli’s gang extracting 15–25% from construction projects, termed “modern chauth” by informants.

Festival-based extortion, particularly during Ganesh Chaturthi, became prevalent. A 1998 Mumbai Police report notes forced chanda for pandals, with non-payers facing vandalism. This practice, rooted in Maharashtra’s Maratha heritage, reflects chauth’s cultural legacy.

2000s–Present: Digital and Interstate Extortion

The 21st century saw extortion adapt to digital platforms. NCRB data from 2010 shows a 25% rise in cases, with Bihar and Uttar Pradesh reporting “rangdari” (tribute) demands by gangs. A 2015 Institute for Defence Studies and Analyses (IDSA) report links these to historical tributes, noting Maratha-influenced syndicates in central India.

Recent NCRB reports (2020–2023) indicate over 12,000 annual extortion cases, with Maharashtra and Delhi-NCR as hotspots. According to a 2022 Observer Research Foundation (ORF) study on “Criminal Economies in India,” haftacollections of 15–30% from small businesses evoke chauth’s coercive model. The 2023 NIA raids on the Lawrence Bishnoi gang uncovered digital extortion networks, with demands framed as “historical dues.”

Legal and Social Responses

Indian law addresses extortion under Sections 383–389 of the Indian Penal Code (1860) and the Bharatiya Nyaya Sanhita (2023). However, enforcement challenges persist. Atul Arun Pathak’s India’s Fight Against Organized Crime(2021) argues chauth’s historical normalization fosters public tolerance, recommending awareness campaigns. Police initiatives, like Mumbai’s 2022 anti-extortion drives, target festival rackets, but cultural entrenchment hinders progress.

Conclusion

Chauth’s journey from Shivaji’s fiscal innovation to modern criminal extortion reflects India’s evolving socio-political landscape. Manuscripts like the Sabhasad Bakhar and Peshwa Daftar reveal its pre-independence role in empire-building, while NCRB and criminological studies highlight its illicit persistence. This legacy underscores the need for historical education and robust policing to dismantle chauth’s modern manifestations.

References

1. Sabhasad Bakhar (1697), translated as Siva Chhatrapati (1896). Pune State Archives.
2. English Factory Records (1659–1682). British Library.
3. Jadunath Sarkar, Shivaji and His Times (1919, revised 1953).
4. Chitnis Bakhar (18th century). Pune State Archives.
5. Mughal Farman of 1719. Peshwa Daftar, Pune.
6. G.S. Sardesai, New History of the Marathas (1946).
7. Bhausahebanchi Bakhar (c. 1760s). Maharashtra Archives.
8. Stewart Gordon, The Marathas 1600–1818 (1993).
9. Poona Residency Correspondence (1936–1951), ed. G.S. Sardesai.
10. Mountstuart Elphinstone, Report on Territories Conquered from the Peshwa (1821).
11. John Malcolm, A Memoir of Central India (1823).
12. Muzaffar Alam, The Crisis of Empire (1986).
13. Bombay Police Commissionerate Report (1953). Maharashtra State Archives.
14. Santhanam Committee Report on Prevention of Corruption (1964).
15. S.K. Ghosh, The Indian Mafia (1991).
16. TISS Study on Mumbai Underworld (1995).
17. NCRB Crime Reports (1990–2023).
18. IDSA Report on Organized Crime (2015).
19. ORF Study on Criminal Economies in India (2022).
20. Atul Arun Pathak, India’s Fight Against Organized Crime (2021).
21. Brij Narain, Indian Economic Life (1929).
22. Contemporary Accounts of Raja Shiva Chhatrapati (18th century).