Founding years of modern Singapore
[6] Between the 16th and 19th centuries, the Malay archipelago was gradually taken over by the European colonial powers, beginning with the Portuguese conquest of the Malacca Sultanate in 1511.
[11] Raffles settled on the island of Singapore because of its position at the southern tip of the Malay peninsula, near the Straits of Malacca, and its excellent natural harbor, fresh water supplies, and timber for repairing ships.
[13] He found a Malay settlement at the mouth of the Singapore River, headed by Temenggong Abdul Rahman for the Sultan of Johor.
The incumbent Sultan of Johor, Tengku Abdul Rahman, was controlled by the Dutch and the Bugis, and would never agree to a British base in Singapore.
[20] Raffles returned to British Bencoolen (Sumatra) the day after the signing of the treaty, leaving Major William Farquhar as the Resident and Commandant of the new settlement,[16] supported initially by some artillery and a single regiment of Indian soldiers.
Establishing a trading port from scratch was in itself a daunting prospect, but Farquhar's administration was, in addition, practically unfunded, as Raffles did not wish his superiors to view Singapore as a liability.
As news of the free port spread across the archipelago, Bugis, Peranakan Chinese, and Arab traders flocked to the island, seeking to circumvent the Dutch trading restrictions.
For instance, in order to generate much-needed revenue for the government, Farquhar had resorted to selling licenses for gambling and the sale of opium, which Raffles saw as social evils.
[24] Raffles banned slavery, closed all gambling dens, prohibited the carrying of weapons, and imposed heavy taxation to discourage what he considered vices such as drunkenness and opium smoking.
[24] They would give up their rights to numerous functions on the island, including the collection of port taxes, in return for lifelong monthly payments of $1,500 and $800 respectively.
[25] This agreement brought the island squarely under British law, with the proviso that it would take into account Malay customs, traditions and religious practices, "where they shall not be contrary to reason, justice or humanity.
Singapore, including its nearby islands, was officially fully ceded to the East India Company, and in return, the chiefs would have their debts cancelled and receive an allowance for life, with each given an additional lump sum of 20,000 Spanish dollars.
[28] The status of Singapore as a British possession was cemented by the Anglo-Dutch Treaty of 1824, which divided the Malay archipelago between the two colonial powers.
In 1826, Singapore was grouped together with Penang and Malacca into a single administrative unit, the Straits Settlements, under the British East India Company.
