When this news reached the General, in whose army provisions and stores became scarce, he fell into deep thought and perplexity, from the prospect of a famine in his camp; and the Nawaub, seeing that the General confined himself in his movements to the conquest of the towns and Talookas of the Balaghaut, resolved that he himself, with the whole of his army, would march to the Payanghaut. Accordingly, having crossed by the pass of Rai Kote, he took the fort of Kishingiri; and then, placing garrisons in the forts of Tripatoor and Wanumbari, he burned most of the towns depending on Amboor. Plundering as he went, he next marched by the districts of Amboor Gurh, Santgurh, Rai Vellore, Dhobigurh, Arnee, and Jeeth-peenth, (or Chittapet,) to Turnamul, where he encamped. From this place he detached his son, (Tippoo,) towards Madras, and Meer Alí Ruza Khan, towards Tujawur, (or Tanjore,) and Nuthur Nuggur, and Ghazi Khan, Maha Mirza Khan, &c., towards Chi­toor and Niloor, to plunder the cities and towns in those quarters; and, in a very short time, the whole of that part of the country was swept by the besom of plunder and destruction, and most of the population perished under the hoofs of the Nawaub’s cavalry.

The General, on hearing of this, and the pillage of the Payanghaut districts, was immersed in the whirlpool of anxiety; and now, being compelled, of necessity marched by the Ghaut of Kurrunpat to Sautgurh, and thence towards Rai Vellore where he halted.

Muhammad Alí Khan, when he saw the two lions, (General Smith, and Hydur,) blood drinkers, making these exertions from manly emulation, and purely for the honour of their respective govern­ments, and in the mean time shedding blood, and plundering and destroying God’s people uselessly; moreover, that, notwithstanding the destruction of thousands of brave men, their hands were not yet withdrawn from slaughter; and that, in his Muham­mad Alí’s wish to obtain the country of the Bala­ghaut, the whole of the Payanghaut would be lost; after considering all this, he, therefore, wrote letters to the General, and persuaded him to entertain thoughts of peace. Then, having appointed Nujeeb Khan and Danishmund Khan his plenipotentiary Vakeels, he despatched them with four lakhs of rupees, and friendly letters and presents, to the Nawaub, and, following the path of friendship and truth, he manifested his wish to make peace. The Nawaub Bahadúr, who, also, in his engage­ments with the English, had obtained nothing but hard blows and loss; who was laden with a burden of hundreds of thousands of debt, and who was himself seeking peace; was in his heart rejoiced beyond measure, by the application of Muham­mad Alí Khan, accepted his presents, and with great satisfaction, despatched Alí Zumán Khan, and Mehdi Alí Khan Nayut, as his ambassadors.

When these able deputies arrived, and met Muhammad Alí Khan, they arranged the preliminaries of the treaty in the best possible way, and laid such a strong foundation to the conditions of peace and amity, that on no account should the Chiefs of these two governments ever again quarrel, but, on the contrary, assist and support each other. Included in this negociation, the Vakeels of the Nawaub again obtained the release from Muhammad Alí, of the Nowayut dependents, that is to say, the relations of Chunda Sáhib, also the relations of Imám Alí Bukhshi, and their Zenanas, or women. Those persons and others being released from the prisons of Muhammad Alí Khan, solely from the Nawaub’s regard for his tribe, the Vakeels returned successful.

By this peace the Khan also transferred the Talooka of Kurroor to the Nawaub, and it was taken possession of by his (the Nawaub’s) officers. But, besides this, most of the Munsubdárs,* and Jageer­dárs, of the tribe before mentioned (Nayut) as, for instance, Mehdi Khan, the Chief of Awul Goondi, Moortuza Hussein Khan, Munsubdár of Girkut Palli, Muhammad Tuki, the Jageerdár of Wundi­wassi; Muhammad Saeed Khan, the Munsubdár of Pur-Mokulgurh; and also the Ilakadárs, Muham­mad Alí Khan Powloori, and Herasut Khan Saut­gudi, who, from the oppression of Muhammad Alí Khan, were sorely afflicted and distressed. To all these he sent pecuniary assistance, and carriage, and invited them to come to him; and when they arrived, he gave to every one service according to his rank and abilities, such as the office of Bukh­shi, or other civil offices, and honours. Many inhabitants of the city and towns of Arkat, Vellore, &c., also, who, being neglected, felt aggrieved, and had retired from public life, now, taking advan­tage of the time offered for the appreciation of their merits, and considering the opportunity as presented by their good fortune, visited the liberal and discriminating Nawaub, and according to their titles or claims were entertained in his service. The chain of strife and discord being thus cut asunder by the shears of four lakhs of rupees, the Nawaub returned victorious to the Balaghaut province.