PT10.2.2 · Colonial Era · UPSC Prelims History

Hyderabad & the Nizams (Asaf Jahi Dynasty)

From Mughal Subahdar to Princely State to Indian Union — 1724 to 1948

The Asaf Jahi Dynasty: Quick Reference

The Asaf Jahi dynasty ruled the State of Hyderabad from 1724 to 1948 — a span of 224 years across seven Nizams. Two are most often tested: the founder Asaf Jah I and the last, Mir Osman Ali Khan.

#NizamReignKey Fact
INizam-ul-Mulk Asaf Jah I (Mir Qamar-ud-Din Khan / Chin Qilich Khan)1724–1748Founder; defeated Mubariz Khan at Shakar Khera 1724; received "Asaf Jah" title from Mughal Emperor Muhammad Shah
Nasir Jang, Muzaffar Jang, Salabat Jang1748–1762Succession war fought during Carnatic Wars (Anglo-French rivalry)
IINizam Ali Khan (Asaf Jah II)1762–1803Signed Subsidiary Alliance 1798 with Wellesley — first Indian state to do so
III–VSikandar Jah, Nasir-ud-Daula, Afzal-ud-Daula1803–1869Era of Salar Jung I reforms (1853–83); Hyderabad fully under British paramountcy
VIMir Mahbub Ali Khan (Asaf Jah VI)1869–1911Loyal to British during 1857 — Hyderabad did not revolt; reward: Berar lease
VIIMir Osman Ali Khan (Asaf Jah VII)1911–1948 (Nizam)
1948–1956 Rajpramukh
The last Nizam; refused 1947 accession; Operation Polo Sept 1948 ended Hyderabad's independence; world's richest man at one point (Time magazine 1937)

Foundation: Nizam-ul-Mulk Asaf Jah I (1724–1748)

Mir Qamar-ud-Din Khan, also called Chin Qilich Khan, was a senior Mughal nobleman from a Turki family. He served Aurangzeb in the Deccan and rose under Bahadur Shah I and Muhammad Shah. Twice he served as Wazir at Delhi (1722–24, 1737); he was disgusted by the corruption and intrigue of the late Mughal court — particularly the dominance of the Syed Brothers and then their successors.

Battle of Shakar Khera (October 1724)

In 1724 he marched south to assume the Mughal subedari of the Deccan. Mubariz Khan, the incumbent appointed by the Wazir at Delhi, refused to give way. The two armies met at Shakar Khera (in modern Buldhana, Maharashtra) in October 1724. Mubariz Khan was killed; his head was sent to Delhi.

Muhammad Shah confirmed Asaf Jah I in his appointment and conferred the title "Asaf Jah" (a poetic Persian title, "of the rank of Asaf" — Asaf was the legendary Wazir of Solomon, denoting wisdom). From this date Hyderabad was effectively independent, though Asaf Jah I never formally renounced Mughal sovereignty and continued to read the khutba in the Mughal emperor's name.

Capital and Administration

Asaf Jah I's capital was initially Aurangabad; later Nizams shifted to Hyderabad (the city built by Quli Qutb Shah in 1591 as the Qutb Shahi capital). The state extended over a vast territory including modern Telangana, Marathwada, Hyderabad-Karnataka regions, and at its peak parts of coastal Andhra.

⚠ EXAMINER TRAP — Title and capital The dynasty title is "Asaf Jahi". The first ruler bears two confusable styles — Nizam-ul-Mulk (a Mughal designation, "regulator of the realm") was his Mughal office; Asaf Jah I is his dynastic style. The capital of Hyderabad State at foundation in 1724 was Aurangabad, not Hyderabad — the shift to Hyderabad city came later under Asaf Jah III (Sikandar Jah, after 1803).

Succession Crisis: Anglo-French Carnatic Connection

When Asaf Jah I died in 1748, his sons fought a succession war that became entangled with the Anglo-French Second Carnatic War. The contestants were:

ContestantBacked ByOutcome
Nasir Jang (son of Asaf Jah I)BritishKilled in 1750
Muzaffar Jang (grandson via daughter)French (Dupleix)Briefly Nizam 1750–51; killed
Salabat Jang (younger son of Asaf Jah I)French (Bussy)Nizam 1751–62 with French support
Nizam Ali Khan (younger son of Asaf Jah I)Deposed Salabat Jang in 1762; Asaf Jah II

The French general Marquis de Bussy with about 4,000 French-trained troops was stationed at Hyderabad from 1751–58 — effectively running Hyderabad's foreign policy. In return, the French were given the Northern Circars (coastal Andhra). After the British defeated the French in the Carnatic Wars, the British took the Northern Circars too.

Hyderabad's Role in the Carnatic Wars

Hyderabad's succession dispute and territorial weakness made it a battleground of the Anglo-French rivalry. The state lost the Northern Circars (Ganjam, Vizagapatam, Rajahmundry, Ellore, Kondapalli — coastal Andhra) — initially to the French (1750s), then to the British (Treaty of Allahabad 1768 / Lord Robert Clive's negotiations).

In 1766 the Nizam ceded the Northern Circars formally to the British in exchange for an annual tribute. This made the EIC the strongest power in coastal Andhra and gave it a pivot for further south-Indian expansion.

Anti-Mysore Alliance with the British

Throughout the late 18th century, Hyderabad's geopolitics was dominated by fear of Mysore. Hyder Ali and Tipu Sultan had repeatedly invaded Hyderabad's western districts. Successive Nizams therefore allied with the British against Mysore:

  • First Anglo-Mysore War (1767–69): Hyderabad was initially in the British alliance but Hyder Ali detached the Nizam by ceding territory.
  • Third Anglo-Mysore War (1790–92): Hyderabad joined Cornwallis's "Triple Alliance" (British + Marathas + Hyderabad) against Tipu — and shared the spoils of the Treaty of Seringapatam.
  • Fourth Anglo-Mysore War (1799): Hyderabad's contingent under Captain Malcolm aided the British capture of Srirangapatna; Hyderabad got Gooty, Gurramkonda, and other districts after Tipu's death.

Nizam Ali Khan (Asaf Jah II) was the first Indian ruler to sign the Subsidiary Alliance with Wellesley in 1798 — the first of a chain of Subsidiary Alliances that would leave Britain master of the subcontinent.

Subsidiary Alliance with Lord Wellesley (September 1798)

Lord Wellesley arrived as Governor-General in 1798 with a clear strategy: compel Indian states to accept "Subsidiary Alliance" — a system of indirect British control. Hyderabad was the first state targeted because:

  • The Nizam had a strong French-trained contingent (under Raymond) — Wellesley wanted it disbanded;
  • The Nizam was weak vis-à-vis Mysore and the Marathas, so he needed British protection;
  • Hyderabad's enormous revenue could pay for British troops without British taxation.

Terms of the 1798 Subsidiary Alliance

ClauseEffect
Disband French troopsRaymond's French corps disbanded immediately; replaced with British subsidiary force
Subsidiary force at Nizam's expense~6,000 British-officered troops permanently stationed in Hyderabad; cost ₹24 lakh/year initially
British Resident at HyderabadSingle channel of all foreign relations; later Lord Hastings made him supervisor of internal affairs too
Cession of territory in lieu of cash1800 onwards — districts (Bellary, Cuddapah, Anantapur, etc.) ceded as "Ceded Districts" to fund the subsidiary force
No alliance with other Indian/foreign powersForeign relations of Hyderabad ended
British arbitration of disputesDisputes with neighbours resolved through the British Resident

Hyderabad thus became the first Indian state under Subsidiary Alliance. Mysore (1799), Awadh (1801), and the Marathas (1802 onwards) followed.

✦ HIGH-YIELD FACT — First Subsidiary Alliance Hyderabad (1798) was the FIRST Indian state to accept Subsidiary Alliance. The order was: Hyderabad 1798 → Mysore 1799 (after Tipu's defeat) → Tanjore 1799 → Awadh 1801 → Peshwa Bajirao II 1802 (Treaty of Bassein) → Bhonsle of Berar 1803 → Sindhia 1804.

Salar Jung Reforms (1853–1883)

Sir Salar Jung I (Mir Turab Ali Khan) was Diwan/Prime Minister of Hyderabad from 1853 to 1883 — under Nizams Nasir-ud-Daula, Afzal-ud-Daula, and Mir Mahbub Ali Khan. He inherited a bankrupt state; his reforms reversed it.

Key Reforms

  • Revenue: Reformed the jagir and ijara systems, ending tax-farming; direct settlement with cultivators.
  • Justice: Established a graded judicial system with district courts and a high court.
  • Police: Modern police organisation on Bombay/Madras lines.
  • Education: Founded modern schools and Hyderabad's first English school; established Madrasa-i-Aliya.
  • Public works: Roads, dak system, telegraph integration.
  • Loyalty in 1857: Salar Jung kept Hyderabad firmly on the British side during the Revolt of 1857. As reward, Britain returned the Raichur Doab (1860) — but kept Berar.

Berar Lease

The Berar region was leased to the British in 1853 in lieu of subsidiary force payments. Lord Curzon converted the lease to a "permanent assignment" in 1902 — effectively annexing Berar in all but name. After India's independence Berar was incorporated into Bombay state and later (1956) into Maharashtra.

Independence and Operation Polo (1948)

At Indian independence (15 August 1947), the last Nizam Mir Osman Ali Khan (Asaf Jah VII) refused to accede to either India or Pakistan. He hoped to remain independent. The state's geography was inconvenient — Hyderabad was landlocked, surrounded entirely by Indian territory.

Internal Crisis

The internal situation was tense:

  • The Razakars, a paramilitary force led by Qasim Razvi of the Majlis-e-Ittehadul Muslimeen (MIM), terrorised Hindus and Communists alike;
  • The Telangana Peasant Armed Struggle (1946–51) was a Communist-led uprising against the Nizam and the local landlord (deshmukh) class;
  • Mass refugee flows — Hindus fleeing into India, Razakars conducting border raids.

Operation Polo (13–18 September 1948)

Acting on Sardar Vallabhbhai Patel's direction (the Home Minister and Minister of States), the Indian Army launched Operation Polo (codename) — also known as the "Police Action" — on 13 September 1948. The operation was commanded by Major General J.N. Chaudhuri (later Chief of Army Staff). Indian forces entered from five directions; resistance was minimal.

The Nizam's forces collapsed within five days. On 17 September 1948 the Nizam announced surrender on All-India Radio. On 18 September the Indian Army entered Hyderabad city. The Nizam acceded to India and was made Rajpramukh (constitutional head) of Hyderabad State, holding the position until 1956 when the State Reorganisation Commission split Hyderabad into Andhra Pradesh, Karnataka (Hyderabad-Karnataka), and Maharashtra (Marathwada).

Casualties and Aftermath

The military operation had limited casualties (about 800 Razakars killed, ~50 Indian soldiers). However, the communal aftermath was severe — the Sundarlal Committee report (kept secret until 2013) estimated 27,000–40,000 Muslims killed in the months following the operation, mostly by reprisals from Hindu mobs and irregular forces.

⚠ EXAMINER TRAP — Operation Polo dates Operation Polo: 13–18 September 1948. Sardar Patel directed; J.N. Chaudhuri commanded. The Nizam acceded to India on 17/18 September. Hyderabad State existed as a separate Indian state until 1 November 1956 (States Reorganisation), when it was split among Andhra Pradesh (Telangana districts), Karnataka (Hyderabad-Karnataka), and Maharashtra (Marathwada).
📋 Previous Year Questions

UPSC CSE Prelims 2014: Who among the following was the first Governor-General to apply the Subsidiary Alliance system to an Indian state? (a) Lord Cornwallis (b) Lord Wellesley (c) Lord Dalhousie (d) Lord Hastings
Answer: (b) Lord Wellesley — applied Subsidiary Alliance first to Hyderabad in 1798.

UPSC CSE Prelims 2007: The Indian Princely State of Hyderabad acceded to India through: (a) plebiscite (b) negotiation (c) military action (d) referendum
Answer: (c) military action — Operation Polo, September 1948.

Frequently Asked Questions

What is the difference between Nizam-ul-Mulk and Asaf Jah?
Nizam-ul-Mulk ("regulator of the realm") was a Mughal administrative title — initially given to Mir Qamar-ud-Din Khan in 1713. Asaf Jah was a personal honorific title given to him by Mughal Emperor Muhammad Shah in 1725. The dynasty he founded is called the Asaf Jahi dynasty; its rulers are called Nizams. So "Nizam Asaf Jah I" is the same person as "Nizam-ul-Mulk".
Why is Asaf Jah I called the "founder" of Hyderabad State?
After his victory at the Battle of Shakar Khera (October 1724) over Mubariz Khan, Asaf Jah I exercised effective independent power over the Mughal Deccan provinces — though he never formally declared independence and continued to acknowledge Mughal suzerainty in form. His successors made the state fully independent in practice. So 1724 is conventionally the founding date of Hyderabad State, though no formal declaration of independence ever occurred.
What were the "Ceded Districts"?
The Ceded Districts are the territories ceded by the Nizam to the British in 1800 — Bellary, Cuddapah, Anantapur, Kurnool — to fund the subsidiary force. They became part of the Madras Presidency. The name "Ceded Districts" persisted until 1947 — these correspond to the modern Rayalaseema region of Andhra Pradesh.
Who were the Razakars?
The Razakars were a paramilitary militia of the Majlis-e-Ittehadul Muslimeen (MIM), led by Qasim Razvi. They opposed accession to India and conducted attacks on Hindus, Communists, and supporters of accession in Hyderabad State during 1947–48. Their excesses became the immediate trigger for Operation Polo. Razvi was tried and imprisoned after 1948.
Who was the richest man in the world in 1937?
Mir Osman Ali Khan, the seventh Nizam of Hyderabad, was featured on the cover of Time magazine in February 1937 as the world's richest man. His estimated wealth was about $2 billion (a vast fraction of the world economy at the time). The Jacob Diamond (the world's seventh-largest diamond, 184.75 carats) was reportedly used as a paperweight in his office.
When was Hyderabad split into modern states?
Hyderabad State was split on 1 November 1956 by the States Reorganisation Act: the Telugu-speaking districts went to Andhra Pradesh (forming the Telangana region until 2014); the Kannada-speaking districts went to Karnataka (Hyderabad-Karnataka region); the Marathi-speaking districts went to Bombay state (Marathwada — later Maharashtra in 1960). Telangana was carved out of Andhra Pradesh as a separate state on 2 June 2014.

Related Articles

PT10.2.1 · Colonial Era Anglo-Mysore Wars — Hyderabad's main rival PT10.2.3 · Colonial Era Nawabs of Awadh & Bengal — parallel successor states PT10.3.1 · Colonial Era Subsidiary Alliance & Doctrine of Lapse — Wellesley to Dalhousie PT10.1.1 · Colonial Era Advent of Europeans — Carnatic Wars context