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His rule is extensively considered the start of British rule in India and was a key step in eventual British domination of the country. His greed of becoming Nawab of Bengal, led him to make a secret deal with Robert Clive and surrender & slaughter of Army of Bengal in Battle of Plessey, without fighting, which led to foundation of British rule in India. For this act of treachery, he has been infamously called Gaddar-e-Abrar. Gaddar means a traitor & Abrar means faith.

However, Mir Jafar had higher ambitions. Arrogant in his position he took advantage of an Ali Vardi Khan weakened by a decade of fighting with Marathas to enter into a conspiracy with Ataullah to overthrow and murder the Nawab. However, the conspiracy was unearthed and he was stripped of most of his powers. He came back to Murshidabad, where he regained the trust of the Nawab's grandson, Siraj-Ud-Daulah, and slowly returned to power and prominence.

After Siraj Ud Daulah’s defeat and subsequent execution, Mir Jafar achieved his long-pursued dream of gaining the throne, and was propped up by the British as puppet Nawab. Mir Jafar paid a sum of Rs. 17,700,000 as compensation for the attack on Calcutta to the company and the traders of the city. In addition, he paid large sums as gifts or bribes to the officials of the company. 

Clive, for example received over two million rupees, Watts over one million Soon, however, he realized that British expectations were boundless and tried to move about out from under them; this time with the help of the Dutch. 

However, the British defeated the Dutch at the Battle of Chinsurah in November 1759 and retaliated by forcing him to abdicate in favor of his son-in-law Mir Qasim. However, Mir Qasim proved to be able and independent, eager to live with but not bow to the British. The Company soon went to war with him, and he was eventually overthrown. Mir Jafar managed to regain the good graces of the British; he was again appointed Nawab in 1763 and held the position until his death in 1765.