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Earlier discussion
2 older comments kept for context.
Ulixis
Lord Lugard was never a ruler or governor of India. Indirect rule officially began in India in 1920 when the chamber of princes was established.
Indirect Rule was first introduced in Northern Nigeria in 1906. The answer is D.
Oluwaseun Adeyemi
Indirect Rule as a British colonial policy was first introduced in India.
Lord Lugard, earlier in his colonial service, tried the Indirect system in India and it worked well. He then introduced the system in Nigeria due to the fact that he observed similar traits in Nigeria as he saw in India. So he thought that the system would also work in Nigeria.