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part of Hyder's dominions. His Coufe lay through the Cuddepah province, a country newly conquered by Hyder, and which mu neceffarily be fill in an unfettled fate: a circumstance and fituation of things, which could not fail to render the appearance of foreign troops fufpicious, even between nations that were upon the most amicable terms. Upon Har per's entering the Cuddepah country, he immediately gave notice to Hyder's officers of his object and deftination; who were as ready in their answer, that he had no right to march without leave through their territories; that he fhould accordingly be oppofed, and the paffes barricaded against He notwithstanding purfued his courfe for fome days, until arriving at the narrow pafs of Atcour, lying between the hills, be found the trees cut down acrofs the way, other means of defence and obftruction adopted, and a confiderable body of men advantageoufly polled to difpute his paffage. He had no orders for direct hoftility, if the measure had otherwife been fafe or prudent; but he had no great time to hefitate upon the matter, for he foon difcovered that measures were taking en all fides for furrounding and enclofing his detachment. In this unexpected fituation, he found it neceflary to give up the defign for the prefent, and to fall back to Innaconda, where he Aug. 14th, arrived, after fpending 1779. fix days in Hyder's country.

It may now be necessary to fee what meatures were taken by the prefidency, to reconcile the Nizam to the treaty concluded with Ba

zalet Jung. Early in the nego ciation, and in the beginning of the year, Sir Thomas Rumbold, the prefident, ftated to the select committee feveral reasons, which fhewed it would be neceffary to fend a refident to the Nizam's court; among these were the following: the making an apology for the arrears due on the peshcuth, with a promise of payment as foon as it could conveniently be done; and the fettlement of the Guntoor circar. The prefident further obferved, that if no other confequence were to arife from it than the obtaining from fuch authority as could be depended on, that intelligence which now was received only by chance, and thereby being at a certainty with respect to the Nizam's views and intentions, and to any intrigues the French were carrying on with him, they were objects of fuch importance as fully fhewed the propriety of the measure. The propofal being agreed to, Mr. Hollond was appointed refident at the court of Hyderabad.

In the letter to the governorgeneral and fupreme council conveying an account of this appointment, which was written in the beginning of February, among fome obfervations on the probable confequences of the dif grace brought upon the Company's arms, by the late difafter which had befallen the Bombay army, they particularly take notice of the effect which it was likely to produce on the conduct of the Nizam, whofe avowed attachment to the court of Poonah, averfion to Ragonaut Row, along with the ftrong remonftrances which he had prefented against the measures pur

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was its poffeffing the fea-port of Mootapilly, which afforded the only intercourfe that either the Nizam or his brother could have with the fea; thereby keeping a door comitantly open for French commerce, intrigue, and negociation in the Deccan, as well as for the introduction of arms, ammunition, artillery, and even troops, when the occafion should require by

that nation.

loufies fprung up, and differences arofe, between the Company and Bazalet Jung; s there likewife did, but in a ftill greater degree between that prince and the Nizam his brother. With respect to the Company, Bazalet was at different times charged with being, in a greater or leffer degree, connected with and under the influence of France. But what was particularly complained of, Under thefe circumftances, it was his receiving a body of troops was natural that the prefidency under the command of a Mr. of Madras fhould earnestly with Lally, into his fervice; which, to anticipate the poffeffion of the though compofed of vagrants and -Guntoor circar; and it was rea- deferters of all the European na fonable that they fhould purfue tions, intermixed with the degefuch moderate and temperate mea- nerate relics of the ancient Porfures as feemed likely to facili- tugueze, yet, being nominally tate that purpose. Overtures French, and conducted by officers were accordingly made, fo early of that nation, the measure was as the year 1769, and afterwards of a nature which could not fail more than once renewed upon to give fome alarm and much the fubject; undoubtedly holding offence to the prefidency of Maout fome terms of equivalent, exchange, or of yearly rent for the Guntoor. But the advantages it afforded being equally understood on both fides, nothing conclufive was done; nor did the Nizam feem much to relish the subject; who perhaps felt, that the granting of too much, was the fure means of producing ungrateful and difagreeable claims or applications for more. How ever that was, it was never once thrown out upon thefe occafions, nor did the idea feem to be entertained, whether in confultation or negociation, that any propofitions relative to a new fettle ment or arrangement of the Guotoor, were to be made to any other 'perfon than to the real fovereign, the Nizam. 1...

dras. Strong remonftrances were accordingly made to Bazalet; and the justification or defence which he fet up, not affording entire fatisfaction,

hints were thrown out, that fuch propofals would be made to his brother for the Guntoor, as could not fail of producing their effect.

In the mean time, the conquefts made by Hyder Ally on his nor thern frontier, and the rapid progrefs which he thereby made in extending his dominion towards Bazalet Jung's borders, as well in his patrimonial territories as his jaghire, filled that prince with apprehenfion and difmay. While Hyder was at a distance, he pretended that he hired the French troops as a protection against his defigns; but on his approach, it

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This wife and temperate advice was, however, overruled by the majority.

Such was this tranfaction, by which a treaty, including new arrangements of connection, revenue, and territory, was concluded with Bazalet Jung, himself a subject, without the participation or confent of his brother and fovereign. The Nizam did not afterwards by any means forget to remind the prefidency, that they had violated the treaty by their acquifition of the circar; and that

Whatever the operating motives were, he propofed, negociated, and concluded, directly from himself, and without the knowledge or intervention of Ni- Bazalet was released from that zam, a treaty of obedience, which they had expressApril, 1779. friendship, alliance, ly bound themselves to inforce with and, on their fide, of defence and their arms. protection, with the prefidency of Fort St. George. By this treaty he difmiffed the French troops, and furrendered the Guntoor into the hands of the Company; they being bound on their part to its immediate and future defence, and to the payment of a prefcribed fpecific annual revenue out of it for life to Bazalet Jung. It feems alfo as if his other territorial poffeffions of Aconi, with fome neighbouring districts, were taken under protection.

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It may not be unworthy of notice, that the account of the commencement and process of this bufinefs, which was tranfmitted from Madras to the governor-general and fupreme council, was fo loofe and general in its terms, that no other information could be gathered from it, than merely that a treaty for granting the Guntoor, upon certain conditions, to the Company, was in a fair train of being brought to a conclufion; but without the fmalleft fpecification with whom it was conducted, or by whom the grant was to be made. And it farther appears, that the treaty was concluded about ten months before any account of the tranfaction was tranfmitted to Bengal.

It had been obferved, that most of the tranfactions relating to land or revenues at Madras, had of late a reference to the interefts of the Nabob of Arcot. In the prefent infance, one of the first acts that deferved notice in the administration of the new government, was

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more than (what is never wanted) a pretence for war and conquest. Upon receiving the Nizam's letter at Madras, with one from Mr. Hollond, containing an account of the very favourable and fattering reception which he met with, the prefident obferved to the committee, that he had always confidered the pefheufh as difgraceful to the Company, and as acknowledgment which the Nizam had no right to demand. That the giving up of the Guntoor to his brother for life, was a fufficient condefcenfion from the Company:That the grant from the Mogul was free and unconditional for the five circars; and the receiving them afterwards from the Nizam, on paying him an aunual tribute, was a facrifice of the Company's rights. He obferved, that the time feemed favourable for throwing off fo heavy a burthen; that the immenfe expences which the Company were put to, both to the northward and in the Carnatic, rendered it neceffary that they fhould endeavour to relieve them as much as poflible. He was perfuaded that the Nizam was not fufficiently powerful to enforce the demand. At all events, they might with fafety make the attempt, and try to obtain a remiffion of fo unneceflary and fo improper a tribute, to which the Nizam had no legal title, and which could only have been originally agreed to, through the want of paying a proper attention to the Mogul's phirmaund; but if, in the progrefs of the bufinefs, the attempt fhould appear impolitic, or attended with too much difficulty, the matter might then be dropped, and the payment of

the tribute made good. He accordingly propofed that a letter fhould be written to Mr. Hollond, particularly inftructing him to ufe his utmost endeavours for the attainment of fo defiraole an object. He acknowledged, at the fame time, that the fubject was very delicate, and fhould not be abruptly gone into; and that the opening of it to the Nizam, would require much management and addrefs on the part of Mr. Hollond, who muft by turns footh and work on his apprehenfions, as the occafion might require.

The prefident's arguments feemed to be conclufive with the committee; and his propofal met with their full approbation. Hollond was inftructed not to mention any compromife, nor to ftipulate for the payment of any part of the pefhcum, until every endeavour to induce the Nizam to relinquish the whole had failed of effect; and he was likewife from his own obfervation to learn, whether there were any points in which he wished that the Company fhould accede to, as a return for his giving up his claim to the pefhcufh. In the clofe, however, of the letter, they obferve to Hollond, that although their wishes extended to an entire remillion of the pefhcuth, and which was accordingly to be the batis of his first propofal, and to be fupported by his best endeavours, yet, they confefled, that without fomething of importance to tempt him, they could hardly expect that he would at once be brought to fo great a conceffion; but they hoped, that making the demand at that time in its full extent, they should the more easily obtain a confiderable abatement in

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the amount of the pefhcufh., If, therefore, all his endeavours for an entire remiffion of the tribute fhould fail, he was then to try to bring the Nizam to an abatement from five lacks, which was the present standard, to two lacks of rupees a year; being the rate at which the Company held the circars by treaty for the first fix years.

This unexpected demand on the *Nizam was made in the latter end of June; and coming in the place of payment of the arrear, or apology for the delay, and while the fresh fore of the Guntoor was green and rankling in his mind, could not fail greatly to affect and alarm him. He was accordingly exceedingly agitated-faid, that he now found the prefidency were determined to break the treaty, and there was no further occafion for Mr. Hollond's ftaying there; that if they were bent on war, he was likewife ready; and that if they faw any advantage in breaking with him, he fhould be very well pleated, as he was convinced, in cafe of a rupture, the advantages of the contest would be on his fide. He stated, that the furrender of the circars to the Company had proceeded from the fraud and ignorance of his managers; and that he had fubmitted to that heavy lofs from a fente of his engagements; and confidering himself bound by the treaties, had ftill adhered to them. He concluded by threatening immediately to join Hyder Ally, and defired that his declaration might be immediately communicated to the prefidency, and a fpeedy answer returned; for if there was any delay, his troops might poffibly advance upon Colonel Harper, on his way to the Guntoor.

VOL. XXV.

In the answer returned to Hol lond upon this fubject, the com mittee obferved, that, although the Nizam's refentment was raifed, they ftill flattered themselves with greater fuccefs than they could have procured by a different line of conduct:-He was inftructed to reprefent to him that no threat was meant, but that it was intended the remiffion fhould proceed from his favour and generofity-that the claim, however, was built on fuch a foundation of equity, that it could not be relinquifhed, and hoped he would be convinced of it. Hollond was farther instructed, that as a remiffion of the whole could not be hoped for, he fhould aim at the propofed abatement; and he was alfo to throw out, that though they fhould pay what was owing to the Nizam, when circumftances permitted, they should be fully prepared to revenge the leaft infult that was offered to them.

It should scarcely be overlooked, that in this feafon of extraordinary tranfaction and unlooked-for demand, amidft fo many other fubjects of irritation, the difmiffion of the forces under Lally, and the fending them to the fea-coasts, in order that the European part fhould be shipped off for their own quarter of the world, and the native difperfed, was among the points warmly infifted upon with the Nizam.

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