Explanation:

- The Ryotwari system was a land revenue system where peasants, known as 'ryots,' were recognized as the landowners. However, due to heavy taxation and economic pressure, many ryots found it difficult to maintain ownership.

- Option 1: A large amount of land passed into the hands of the money lenders, merchants, and rich peasants, who usually utilized the services of tenants - Describes accurately what happened as many small peasants and ryots fell into debt and lost their land to these groups. Correct Answer

- Option 2: Landless labourers became the land owners - This was generally not the case as financial challenges prevented this.

- Option 3: It stopped the practice of leasing out land to tenants at high prices - This practice continued and often increased.

- Option 4: Landlordism was totally destroyed - Landlordism existed in other forms within the system.