India was first administered by a private company called
East India Company, formed in 1600. The company had its own armies, governing
officials, and a judiciary. The country
was dissatisfied with the Company rule, leading to the Sepoy Rebellion on 1857.
The British Crown intervened and ruled the country in, establishing the British
Raj and completing the British colonization of India. Indians were again
discontented with the Crown, resulting to formation of Indian National Congress
that worked for independence of the country.
Because it expressed the fact that Americans didn't want European countries that had economic or colonists interests to put a foot in the United States.