In 1764, while carrying out arrangements connected with the evacuation of Manilla, Captain Brereton arrived at Batavia in H.M.S. 'Falmouth' and found there Commodore Watson, of the Bombay Marine, in the Company's ship 'Revenge' flying a red broad pendant. On the approach of the 'Falmouth' this was hauled down and a common pendant substituted. Brereton ordered this to be struck, and Watson thereupon hoisted the Company's colours and a broad distinguishing pendant. Brereton then sent an officer on board to demand that this also should be struck, and after a stormy scene it was done, but the pendant was again hoisted a short time afterwards. A second officer was sent to the 'Revenge,' but Watson positively refused to strike it. The next morning the 'Revenge' was seen clearing for action, with a number of armed men in her maintop to repel any attempt to touch the pendant. A third officer was then sent to the 'Revenge,' and when the junior officers of that ship realised what the result of proceeding to extremities was likely to be they gave up the pendant to him. This example illustrates well the anomalous position in which the Indian navy stood; on the one hand it was recognised as a Colonial naval force, on the other it was treated as though it were merely a part of the British merchant service. The position does not appear to have been regularised until 1827, when the Admiralty issued a warrant that granted the ships of the Bombay Marine the privilege of wearing in addition to the Red Ensign, which all ships belonging to His Majesty's subjects should legally wear, the Union Jack and a long pennant having St George's Cross on a white field in the upper part next the mast with a red fly. The curious expression "should legally wear" seems to have reference to the fact that the legality of the old striped ensign of the Company had recently been called in question, and its use, except as a jack, had in consequence been abandoned. It will be observed that the Warrant makes no mention of a broad pendant, but the Bombay Marine (or Indian navy as it was called after 1830) evidently still made use of it, for in 1848 the officer acting as commander-in-chief of H.M. ships on the East Indies Station objected to the flying of the red broad pendant, and as a result it was decided that the Commander-in-Chief of the Indian navy should fly a broad pendant, red with a yellow cross, and the Company's cognisance of the yellow lion rampant, holding a crown, in the upper quarter next the staff, the Commodore of the Indian navy serving in the Persian Gulf being allowed a similar flag with a blue field[317]. In 1858, when the Government of India was transferred to the Crown, the military and naval forces were transferred with it, but the Indian navy did not find favour in the eyes of its new masters, and it was abolished. This took place in 1863, when the following ceremony was observed: