Master Tara Singh and Gopal Singh Qaumi tried to induce Giani Sher Singh to come to a settlement, but then he demanded dismemberment of the organisation controlled by Master Tara Singh. In the meantime the 'Gursewak Sabha' formed in December 1933 by some Sikh teachers of Khalsa College Amritsar tried to resolve the differences between the two groups and asked Master Tara Singh and Giani Sher Singh to retire from politics for sometime.
Master Tara Singh, according to the wishes of the Sabha, left for a self-imposed exile to Burma, Paonta Sahib and other places bidding a farewell to politics and active panthic service and even promised not to return for sometime so that people might forget him. The offer was made to avoid a rift in the Panth. He also resigned from all the organisations and institutions of which he was a member or chairman including Shiromani Akali Dal, Shiromani Gurdwara Prabandhak Committee and Sarb Hind Sikh Mission.Jathedar Teja Singh Akerpuri took over as President of SGPC and Udam Sing Nagoki as president of Akali Dal on the other hand Giani Sher Singh refused to make any compromise.
During Master Tara Singh's period of self-imposed exile i.e. from June 1934 to January 1935, the oppressive policies against the Akalis increased in the Sikh States and as a result of this oppression, Sewa Singh Thikriwala, an Akali activist and a close friend of Master Tara Singh was arrested and died in Patiala jail in January 1935. Master Tara Singh came to know about his death through newspapers and decided to come back. Unity efforts were resumed within a few months of the return of Master Tara Singh. In April 1935, a partial accord was reached. But the Executive Committee of the Central Akali Dal, instead of ratifying the agreement put forth alternative suggestions, undoing the unity efforts.
In April 1935, an important meeting of the Akali workers passed a resolution expressing the full confidence in Master Tara Singh's leadership. The Central Akali Dal was the product of the disunity caused in the Sikh ranks by the Gurdwara Act of 1925. As time passed, the opposition between the Shiromani Akali Dal and the Central Akali Dal grew. Sardar Bahadur Mehtab Singh's party officially came to be known as the Central Akali Dal; it had no long-term programme but advocated short gap measures. Sometimes it advocated the policies of the Shiromani Akali Dal and sometimes opposed them, merely for the sake of opposition. It consisted of men like Sardar Bahadur Mehtab Singh, Gyani Sher Singh, Amar Singh Sher-i-Punjab, Sardar Bahadur Santokh Singh, Harbans Singh Sistani, Jaswant Singh Jhabal, Kartar Singh Jhabal, Amar Singh Jhabal etc. The Central Akali Dal seemed to consist of too many leaders and no followers.
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