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In order to break the ice and to bridge the gulf between the Muslims League and Congress so that they could present common demands before the British for the legislation of the new Act, a group of prominent Muslims, mostly members of the two chambers of the central met at Delhi on March 20, 1927. M.A. Jinnah presided over the session. The proceedings were held in camera and lasted for almost seven hours. They knew that the greatest constitutional contention between Muslim League and Congress was the matter of electorate. Congress propagated joint electorates as to them separate electorates would have weakened the foundations of the Indian nationalism. Whereas Muslim League out of their insecurity of undermined representation were not ready to let go of their demand for separate electorate. Jinnah and team realized that they could only convince the Congress to accept a common agenda if they withdrew the League’s demand of Separate electorate. They discussed and tried to chalk out the conditions following which the system of Joint Electorates could be accepted. After a prolonged discussion it was unanimously resolved that League should accept a settlement with the Congress on the basis of certain proposals; the concluded agreement came to be known as Delhi Proposals. Jinnah and company declared that they would withdraw the demand of Separate Electorates provided the following demands will be accepted by the Congress:
Sind should be separated from Bombay and should be constituted into an independent province.
Reforms should be introduced in the North-West Frontier Province and Baluchistan on the same footing as in any other province of India.
Reservation of seats according to the population for different communities in the Punjab and Bengal.
Muslims should be given 1/3rd representation in the Central Legislature.
The relinquishment of the right to separate electorate was an unprecedented concession by the Muslims and it was a major achievement of Jinnah to have convinced his colleagues to concede this. It was the first time that the Muslim League had agreed to joint electorates and would not do so ever again. The Muslim League was, however, divided because of these proposals and prominent Muslim League leaders, mainly from the Punjab, under the leadership of Sir Muhammad Shafi, decided to part away for the Jinnah Group.