| TREATY OF PERPETUAL PEACE AND FRIENDSHIP BETWEEN THE GOVERNMENT OF INDIA AND THE GOVERNMENT OF BHUTAN Darjeeling,
8 August 1949 The Government of India on the one part, and His Highness The Druk Gyalpo's Government on the other part, equally animated by the
desire to regulate in a friendly manner and upon a solid and durable basis the state of affairs caused by the termination of the
British Government's authority in India, and to promote and foster the relations of friendship and neighbourliness so necessary for
the well-being of their peoples, have resolved to conclude the following treaty, and have, for this purpose named their representatives,
that is to say Sri Harishwar Dayal representing the Government of India, who has full powers to agree to the said treaty on behalf
of the Government of India, and Deb Zimpon Sonam, Tobgye Dorji, Yang-Lop Sonam, Chho-Zim Thondup, Rin-Zim Tandin and Ha Drung Jigmie
Palden Dorji, representing the Government of His Highness the Druk Gyalpo, Maharaja of Bhutan, who have full powers to agree to the
same on behalf of the Government of Bhutan. Article I There shall be perpetual peace and friendship between the Government of India and the Government of Bhutan. Article II The Government of India undertakes to exercise no interference in the internal administration of Bhutan. On its part the Government
of Bhutan agrees to be guided by the advice of the Government of India in regard to its external relations. Article III In place of the compensation granted to the Government of Bhutan under Article 4 of the Treaty of Sinchula and enhanced by the treaty
of the eighth day of January 1910 and the temporary subsidy of Rupees one lakh per annum granted in 1942, the Government of India
agrees to make an annual payment of Rupees five lakhs to the Government of Bhutan. And it is further hereby agreed that the said
annual payment shall be made on the tenth day of January every year, the first payment being made on the tenth day of January 1950.
This payment shall continue so long as this treaty remains in force and its terms are duly observed. Article IV Further to mark the friendship existing and continuing between the said Governments, the Government of India shall, within one year
from the date of signature of this treaty, return to the Government of Bhutan about thirty-two square miles of territory in the area
known as Dewangiri. The Government of India shall appoint a competent officer or officers to mark out the area so returned to the
Government of Bhutan. Article V There shall, as heretofore, be free trade and commerce between the territories of the Government of India and of the Government of
Bhutan; and the Government of India agrees to grant the Government of Bhutan every facility for the carriage, by land and water,
of its produce throughout the territory of the Government of India, including the right to use such forest roads as may be specified
by mutual agreement from time to time. Article VI The Government of India agrees that the Government of Bhutan shall be free to import with the assistance and approval of the Government
of India, from or through India into Bhutan, whatever arms, ammunition, machinery, warlike material or stores may be required or
desired for the strength and welfare of Bhutan, and that this arrangement shall hold good for all time as long as the Government
of India is satisfied that the intentions of the Government of Bhutan are friendly and that there is no danger to India from such
importations. The Government of Bhutan, on the other hand, agrees that there shall be no export of such arms, ammunition, etc., across
the frontier of Bhutan either by the Government of Bhutan or by private individuals. Article VII The Government of India and the Government of Bhutan agree that Bhutanese subjects residing in Indian territories shall have equal
justice with Indian subjects, and that Indian subjects residing in Bhutan shall have equal justice with the subjects of the Government
of Bhutan. Article VIII (1) The Government of India shall, on demand being duly made in writing by the Government of Bhutan, take proceedings in accordance
with the provisions of the Indian Extradition Act, 1903 (of which a copy shall be furnished to the Government of Bhutan), for the surrender of all Bhutanese subjects accused of any of the
crimes specified in the first schedule of the said Act who may take refuge in Indian territory. (2) The Government of Bhutan shall, on requisition being duly made by the Government of India, or by any officer authorised by the
Government of India in this behalf, surrender any Indian subjects, or subjects of a foreign power, whose extradition may be required
in pursuance of any agreement or arrangements made by.the Government of India with the said power, accused of any of the crimes,
specified in the first schedule of Act XV of 1903, who may take refuge in the territory under the jurisdiction of the Government
of Bhutan, and also any Bhutanese subjects who, after committing any of the crimes referred to in Indian territory, shall flee into
Bhutan, on such evidence of their guilt being produced as shall satisfy the local court of the district in which the offence may
have been committed. Article IX Any differences and disputes arising in the application or interpretation of this treaty shall in the first instance be settled by
negotiation. If within three months of the start of negotiations no settlement is arrived at, then the matter shall be referred to
the Arbitration of three arbitrators, who shall be nationals of either India or Bhutan, chosen in the following manner: (1) One person nominated by the Government of India; (2) One person nominated by the Government of Bhutan; (3) A Judge of the Federal Court, or of a High Court in India, to be chosen by the Government of Bhutan, who shall be Chairman. The
judgernent of this Tribunal shall be final and executed without delay by either party. Article X This treaty shall continue in force in perpetuity unless terminated or modified by mutual consent. DONE in duplicate at Darjeeling this eighth day of August, one thousand nine hundred and forty-nine, corresponding with the Bhutanese
date the fifteenth day of the sixth month of the Earth-Bull year. HARISHWAR DAYAE Political Officer in Sikkim. DEB ZIMPON SONAM
TOBGYE DORJI
YANG-LOP SONAM
CHHO-ZIM THONDUP
RIN-ZIM TANDIN
HA DRUNG JIGMIE PALDEN DORJI Instruments of Ratification WHEREAS a Treaty relating to the promotion of, and fostering the relations of friendship and neighbourliness was signed at Darjeeling
on the 8th day of August 1949 by representatives of the Government of India and of the Government of His Holiness the Druk Gyalpo,
Maharaja of Bhutan, which Treaty is, word for word, as follows: * * * * * * * * * * * * The Government of India, having considered the treaty aforesaid, hereby confirm and ratify the same and undertake faithfully to perform
and carry out all the stipulations therein contained. IN WITNESS WHEREOF this instrument of ratification is signed and sealed by the Governor-General of India. DONE at New Delhi, the 22nd day of September, 1949. C. RAJAGOPALACHARI, Governor-General of India. WHEREAS a Treaty relating to the promotion of, and fostering, relations of friendship and neighbourliness was signed at Darjeeling
on the eighth day of August, 1949 by Representatives of my Government and of the Government of India, which Treaty is, word for word,
as follows: * * * * * * * * * * * * My Government, having considered the treaty aforesaid, hereby confirm and ratify the same and undertake faithfully to perform and
carry out all the stipulations therein contained. IN WITNESS WHEREOF I have signed this instrument of ratification and affixed hereto my seal. DONE at Tongsa the fifteenth day of September, 1949. J. WANGCHUK Druk Gyalpo Seal. | 