When the Dagohoy revolt was suppressed by the Spaniards, the authorities established a garrison in Datag (one of its barrios) to discourage and stamp out further uprisings on the part of the natives.

In 1888, Friar Benito Grayoa, who at that time exercised control over local governments, ordered the transfer of the municipio to Cabad, a barrio four kilometres (2.5 mi) west of the poblacion.

The padre's plan met vigorous opposition from the people and through the able leadership of Capitan Bartolome Racho, they filed the protest before the Spanish Military Governor Linares who disapproved the proposal causing Friar Grayoa's ire who then plotted for the consequent punishment of the captain by dragging him with the friar's horse through the streets causing his death in jail.

With the guidance of the local appointed leaders under the control of the Spanish friar, the town slowly progressed peacefully until the outbreak of the revolution in 1898.

The supplications of spokesman Segundo Racho not to burn the town was of no avail and the sounds of the welcoming brass band turned into volleys of gunshots.

By 1904, there was a move to fuse Balilihan with Antequera in order to meet the requirements of a municipality under the American regime.

The Japanese atrocities gave rise to the organizations of the guerrillas into full combat force under the supreme command of Mayor Ismael Ingeniero.

The people helped the guerilla movement by feeding the troops in the front lines as well as those in the headquarters in Behind the Clouds, in Maitum which was the famous concentration camp of the war.

In 1948, Balilihan suffered a great loss of territory when the biggest barrio, Catigbian, was given its town charter in spite of the strong representation against the move by town mayor Balbino Chatto and Gerardo Racho who personally went to Malacañang to see President Elpidio Quirino.