12 February 1779. His army made breach at Khan Jahan gate and captured Ahmedabad on 15 February 1779. There was a garrison of 6,000 Arab and Sindhi infantry and 2,000 cavalry. Losses in the fight totalled 108, including two Britons. After the war, the city was later handed to Fateh Singh Gaekwad who held it for two years. The city was severely damaged and depopulated and the economy was destroyed. Under the terms of the under the Treaty of Salbai (24 February 1783) Ahmedabad was restored to the Peshwa, the Gaekwad's interest being as before, limited to one-half of the revenue and the command of one of the gates. For some years tho city improved, its manufactures in 1789 being incomparably better than those of Surat. Then the 1790 famine caused fresh distress, and a few years later only a quarter of the space within the walls was inhabited. At this time (1798–1800) Aba Salukar, tho Peshwa's Governor, indebted and oppressive, ill-used the people, and embezzled the Gaekwad's revenues. Advancing against Salukar, Govind Rao Gaekwad defeated him near Shah e Alam and, pursuing him into the citadel, made him prisoner. On this the Peshwa, who from private dislike to Aba was secretly pleased, granted the Gaekwad, for a yearly payment of £50,000 (Rs. 5,00,000), a five-year lease of his share of the Gujarat revenues. This arrangement, renewed for ten years in 1804, continued in force till 1814. Though the city was considerably recovered, the famine in 1812 devastated its people. After the Second Anglo-Maratha War, the British East India Company had gained considerable political power and territories. When Peshwa appointed Trimbak Dengle as governor on 23 October 1814, the relationship between Gaekwad and Peshwa deteriorated. Gaekwad sent an envoy to the Peshwa in Pune to negotiate a dispute regarding revenue collection. The envoy, Gangadhar Shastri, was under British protection. He was murdered, and the Peshwa's minister Trimbak Dengle was suspected of the crime. The British seized the opportunity to force Baji Rao II sign the Treaty of Poona (13 June 1817). Under the terms of the treaty, the Peshwa agreed, for a yearly payment of £45,000 (Rs. 4,50,000), to let in perpetuity to the Gaekwar the farm of Ahmedabad. Under the same treaty the Peshwa agreed, that this revenue from the Ahmedabad farm, should be paid by the Gaekwar to the British as part of the British claims on the