New Delhi: The Independence of India on August 15, 1947, was a blessing that we received after almost 200 years of heinous colonial rule that shattered the country. On the other hand, the moment brought with it a curse, a tragedy that uprooted the lives of millions of people, resulting in large-scale loss of life and an unprecedented migration between the two countries. The Partition led to one of the largest displacement of people in history, as India and the newly formed Pakistan divided the assets of the erstwhile undivided nation between them, changing the history of the subcontinent, especially that of South Asia forever.
How did India and Pakistan divide the assets between them?
On June 16, 1947, Governor-General Jenkins in close consultation with Lord Mountbatten and others established The Punjab Partition Committee, which, as a report by the Economic Times stated, was later renamed the Partition Council. It had Sardar Vallabhbhai Patel and Rajendra Prasad from the Congress and Liaquat Ali Khan and Muhammad Ali Jinnah from the All-India Muslim League.
Entrusted with the responsibility to advise on the division of finances, forces, and senior administrative services, it decided the fate of the two countries. According to the ‘Breaking up: Dividing assets between India and Pakistan in the times of Partition’ by Anwesha Sengupta, it had only 70 days to do them. Only 70 days to create a boundary between a land which has existed for thousands of years.
How was the military divided?
The British Indian Army was a massive force with people from every corner of the land participating in it, mostly to earn a living rather than out of a sense of loyalty to the Britishers. Dividing the defence forces was a huge task as both nations needed strong armed forces to deal with new challenges and threats to their sovereignty. According to an article by the Firstpost, the Partition Council decided to give two-thirds of the force to India and the rest to Pakistan. In the process, India reportedly got around 2,60,000 men, mostly Hindus and Sikhs and Pakistan got around 140,000 men, mostly Muslims. India and Britain split the Brigade of Gurkhas, albeit not smoothly.
How were the finances divided between India and Pakistan?
According to reports, the Partition agreement stated that Pakistan would get 17.5 per cent of British India’s assets and liabilities. The Partition Council decided that both countries with have the same central bank for over a year for the smooth transition of finances, but the deterioration of ties between the Reserve Bank of India and Pakistan government over the payment of Rs 55 crore meant that the division had to be done hastily.
As per a report by the Economic Times, during the time of the division, the British Indian government had around Rs 400 crore. The Partition Council gave the newly formed central bank of Pakistan Rs 75 crore including a working balance of Rs 20 crore in advance on August 15, 1947. It was also decided that both nations would continue with the existing coinage and currency till March 31, 1948, and between April 1 and September 30, 1948, Pakistan would get new coins and notes while simultaneously using the old rupee and paisa.
Reportedly, while Pakistan got Rs 20 crore, the payment of the remaining Rs 55 crore was paused due to Pakistan’s invasion of Kashmir with the help of mercenaries. The then Home Minister of India, Sardar Vallabhbhai Patel, refused to clear the pending payment until the Kashmir affair was settled. While Pakistan agreed initially, during the final talks on the Kashmir issue, it objected to the withholding of the payment by India. But Mahatma Gandhi thought that Pakistan should be paid its dues and he even undertook a fast to help the newly formed nation get its money. On January 15, 1948, due to the pressure of Gandhi, the Indian government led by Prime Minister Jawaharlal Nehru decided to settle the cash balances immediately, ignoring the protests of Patel. Notably, to date, both countries claim that the other party owes them money.
How were the other assets divided?
The Economic Times reported that India and Pakistan divided all moveable assets in the ratio of 80-20, including stationery items and office furniture. Fights broke out even for typewriters, broken desks and chairs and even inkpots, water jars, umbrella racks and dishes in state residencies. When it came to government employees, the Council decided to give them the option to serve either India Government of Pakistan, both at the central level and at the provincial level.
The Partition led to one of the largest displacement of people in history, as India and the newly formed Pakistan divided the assets of the erstwhile undivided nation between them, changing the history of the subcontinent, especially that of South Asia forever. knowledge Knowledge News, Photos and Videos on General Knowledge
