But when he abolished this system of land leasing, he also stopped the main source of income for the nobility, turning them against the Dutch. March 17 British and Dutch sign Treaty of London and divide the Indies between themselves. The Dutch claim Sumatra, Java, Maluku, Irian Jaya, and so on. The British claim Malaya and Singapore, and retain an interest in North Borneo. Aceh is supposed to remain independent.
Bone takes Dutch areas in south Sulawesi.
Gen. van der Capellen offers the colony to a private British firm, Palmer and Co., as collateral on a loan to bail out the colonial government. Dutch institute direct rule in Riau. The Treaty of London in 1824 was intended to divide the Indies between British and Dutch control. Many of the boundaries defined in this treaty would later become boundaries of the Republic of Indonesia. Nederlandsche Handel Maatschappij is founded.