The Treaty of Salbai, concluding the first Anglo-Maratha war, was signed on this day.
The war, with its many turns, was fought from 1775 and was also marked by the conflicts within the Marathas and the British. It began when Raghunathrao made a bid for the position of Peshwa. The British in Bombay entered into the Treaty of Surat (1775) with him, giving him protection, and getting, in return, the territories of Salsette and Bassein, and partial revenue from Surat and Bharuch.
When the British lost the Battle of Wadgaon (1779) against the Marathas, and signed another treaty, British Governor-General in Bengal Warren Hastings would not recognise the power of Bombay officials to sign it and would send reinforcements to fight the Marathas.
In 1782, the Treaty of Salbai was signed between the British and Mahadji Shinde. The British retained Salsette and the next Anglo-Maratha war would not take place before 20 years.