The Treaty of Salbai led to 20 years of relative peace between the Maratha Empire and the East India Company until the outbreak of the Second Anglo-Maratha War in 1802. [1] Devudiya Anderson entered into salbai`s contract on behalf of the East India Company. [2] Mahadaji Sindhia concluded in October 1781 an agreement with the English, by which he agreed to negotiate an agreement with the Council of Poona with the English. Negotiations began in early 1782 and the Treaty of Salbai was signed on 17 May 1782 between the English and the Marathas. Its terms were as follows:- Salbai`s contract was signed between the Marathas and the British East India Company. According to this contract: But the English government in Mumbai was not in the mood to fulfill the conditions of the contract and continued to seek protection for Raghunath Rao. In the meantime, the administrators` court refused Purandhar`s contract and insisted on keeping Bassein. The English also occupied Bassein in December 1780. But when Goddard headed for Poona, he was defeated in battle and forced to retreat. .