The Governor of Bombay refused to ratify the treaty, on the ground that the officials with the expedition had no power whatever to enter into any arrangement, without the matter being previously submitted to, and approved by, the Government.
Fortunately, at this moment a force that had been despatched from Bengal, under Colonel Goddard, to support Rugoba was nearing the scene of action; and that officer, learning the danger to which Bombay was exposed, took the responsibility and, marching from Hoosingabad, avoided a body of twenty-two thousand horse, which had been despatched from Poona to cut him off, and reached Surat without encountering any opposition.
This welcome reinforcement materially altered the situation, and Bombay lay no longer at the mercy of the Mahrattas.

There was now Goddard's force, and the army that had fallen back from Poona and, what was still more important, Scindia had by his secret convention deserted the confederacy; and it was morally certain that neither the Peishwa nor Holkar would send his forces against Bombay, leaving to Scindia the power of grasping the supreme authority in the Deccan during their absence.
In 1779 General Goddard, who was now in command at Bombay, entered into negotiations with Nana Furnuwees.

These were carried on for some months; but were brought to a conclusion by Nana declaring that the surrender of Salsette, and the person of Rugoba, who was again a fugitive in Bombay, were preliminaries to any treaty.
Bombay received a reinforcement of a European regiment, a battalion of Sepoys, and a hundred artillerymen, from Madras; but before they arrived Goddard's force had captured Dubhoy, and a treaty had been effected.
The town of Ahmedabad was to be handed over to our ally, Futteh Sing; but it declined to surrender, and was taken by assault, the storming party being commanded by Lieutenant Colonel Hartley.
Scindia had as usual changed sides, and was now operating in conjunction with Nana; and he and Holkar, with twenty thousand horse, marched to Baroda.

Goddard advanced to give battle; but Scindia, to gain time, opened negotiations.
Goddard, however, was not to be duped.

The negotiations were broken off, and he advanced against the Mahrattas.