Correct Option
The Charter Act of 1833 created the position of a Law Member (the fourth member) in the Governor-General's Council, primarily to assist in the codification of Indian laws. However, the Act did not mandate the appointment of an Indian to this specific role. Lord Macaulay was the first Law Member appointed under this Act. Therefore, the provision stating that an Indian was to be appointed as a Law Member was not part of the Charter Act of 1833.
Incorrect Options
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Option A: The Charter Act of 1833 abolished the East India Company's commercial functions, thereby transforming it into a purely administrative and political entity. This marked the end of the Company's role as a trading body.
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Option B: The Act redesignated the Governor-General of Bengal as the Governor-General of India. Lord William Bentinck was the first incumbent of this new office, signifying a further step towards administrative centralization.
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Option C: The Act centralized legislative powers by vesting all law-making authority for British India in the Governor-General in Council. It deprived the Presidencies of Bombay and Madras of their independent legislative powers, making them subordinate to the central authority in legislative matters.