As the result of the murder, senior ministers and generals of the Maratha confederacy formed a regency council , known as the "Baarbhai Council", to conduct of the affairs of the state. In the next political development, the posthumous son of Narayan Rao, who was named Sawai Madhav Rao II, was declared to be the “peshwa”. Raghunath rao (Raghoba) fled away from the scene. The Baarbhai Council began to conduct the affairs of the state in the name of Sawai Madhav Rao II as he was a minor.