The
Gaekwads were originally lieutenants of the
Dabhade family, the Maratha chiefs of Gujarat and holders of the
senapati (commander-in-chief) title. In 1731,
Trimbak Rao Dabhade was killed for rebelling against
Peshwa Baji Rao. The Peshwa allowed the Dabhades to retain their title and territories in Gujarat, on the condition that they would remit half of their revenues to the Maratha Chhatrapati's treasury. His minor brother Yashwant Rao Dabhade was appointed as the
senapati, with his mother
Umabai Dabhade exercising the executive powers. Pilaji, and after his death in 1732, Damaji held the actual military power as Yashwant Rao was a minor. Even as he grew up, Yashwant Rao got addicted to alcohol and opium, and Damaji gradually increased his power during this time. Umabai initially pretended reconciliation with Peshwa Bajirao, but maintained a grudge against him for killing her son. After Bajirao's death, she pleaded with the new Peshwa
Balaji Rao, to release the Dabhades from the revenue-sharing covenant. When he refused to do so, she sided with
Tarabai in a rebellion against the Peshwa. When Balaji Baji Rao left for the Mughal frontier, Tarabai imprisoned
Chhatrapati Rajaram II and Umabai dispatched Damaji Gaekwad with a 15,000-strong force to support her. In Pune, the Peshwa repeatedly pressurized Damaji to cede half of Gujarat on behalf of Yashwant Rao Dabhade. Damaji kept refusing, and on 19 July 1751, the Peshwa placed him and his
dewan Ramchandra Baswant in strict confinement. On 14 November, he sent them to a captivity in
Lohagad. A few weeks later, Ramchandra Baswant managed to escape and reached Gujarat, where he met Damaji's relatives at the
Songadh fort. The Peshwa put Damaji in iron chains at Lohagad, and sent a force under his brother
Raghunathrao to Gujarat. Raghunathrao managed to recover revenues from
Surat, but could not advance north of the
Tapti River. Meanwhile, the Peshwa suffered setbacks in some other battles, and decided to seek reconciliation with the Gaekwads. == As the Maratha chief in Gujarat ==