The Act of 1861 was important in the constitutional history because it enabled the Governor-General to associate the people of the land with work of legislation. And by vesting legislative powers in the Governments of Bombay and Madras which ultimately culminated in grant of almost complete internal autonomy to the provinces in the 1937.
However, the legislative councils were merely talk shops with no power to criticize the administration or ask for some information. Their scope was fixed in legislation purpose alone; they had no right to move some kind of vote of no confidence. Further, there was no statutory / specific provision for the nomination of Indians.
This nomination power of the Viceroy could be used only to placate the princes who could help the British to keep their stronghold. Further, the ordinance making power of the Governor General allowed him to make laws it his own whim. In summary, the Indian Councils Act 1861 failed to satisfy the aspirations of the people of India.
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