Complex sentence: KNILM could not operate in East Indies because of World War II and ensuing Indonesian war for independence, and disbanded completely in 1 August 1947, and the remaining assets were transferred to KLM, which created the "KLM Interinsulair Bedrijf" (Interinsular Service).
Split into simpler sentences: KNILM could not operate in East Indies because of World War II and the ensuing Indonesian war for independence, and disbanded completely in 1 August 1947. Its remaining assets were transferred to KLM, which created the "KLM Interinsulair Bedrijf" (Interinsular Service).