Territorial adjustments of Jammu Kashmir
Following a rebellion in Hazara, Gulab Singh asked for an exchange of Hazara for other territories. Consequently, Hazara was transferred back to Lahore and Gulab Singh received Kathua and Suchetgarh and part of Minawar in exchange. In 1847, Sujanpur and part of Pathankot were handed over to the British in lieu of pensions to disinherited hill chiefs.
The sons of Dhyan Singh, Jawahir Singh and Moti Singh, put forward a claim to Poonch, on the grounds that it was the Jagir of their father, and to Jasrota, which was earlier a Jagir of their brother Hira Singh. After negotiation, the British granted them Chalayar and Watala as Jagirs with the title of Raja. They were to give the Maharaja Gulab Singh a horse with gold trappings every year and consult him on matters of importance. In 1852, Poonch was granted to Moti Singh as a Jagir on the same conditions.
The Raja of the Chamba State (which became part of Gulab Singh’s territories by the Treaty of Amritsar) put forward a claim that Bhadarwah was a Jagir granted to him by the Maharaja Ranjit Singh. Since the situation was anomalous, the British let Bhadarwah be retained by Gulab Singh but allowed Chamba to be separated in a subsidiary alliance with the British Government.
The settlement of the boundary between Ladakh and Tibet was carried out by Alexander Cunningham with the assistance of Henry Strachey and Dr. Thomson in 1847. Thus the present borders of Jammu and Kashmir were finalised.