When the All-India Muslim League was founded at Dacca, on 30 December 1906 at the occasion of the annual All India Muhammadan Educational Conference, It was participated by the Muslim leaders from Punjab, i.e., Sir Mian Muhammad Shafi, Mian Fazl-i-Hussain, Abdul Aziz, Khawaja Yusuf Shah and Sh. Ghulam Sadiq. Earlier Mian Muhammad Shafi organised a Muslim Association in early 1906, but when the All-India Muslim League was formed, he established its powerful branch in the Punjab of which he became the general secretary. Shah Din was elected as its first president. This branch, organised in November 1907, was known as the Punjab Provincial Muslim League.Jahanara Shahnawaz, Father and Daughter, p.19. Jahanara Shahnawaz, Father and Daughter: A Political Autobiography (Lahore: 1971)

Early years In 1913, Muhammad Ali Jinnah joined the All-India Muslim League, and he was in favour of Hindu – Muslim working relationship like Fazl-i-Hussain, Maulana Muhammad Ali, Pir Taj-ud-Din, Khalifa Shuja-ud-Din and Zafar Ali Khan wanted to befriend the Indian National Congress to attain self-government through constitutional means.M. Rafique Afzal, 'Origin of the Idea of a Separate Muslim State', JRSP (1966), pp.177–82.

In 1916, Muhammad Ali Jinnah, negotiated with the Indian National Congress to reach an agreement to pressure the British Government to have a more liberal approach to India and give Indians more authority to run their country. The Muslim League changed its major objective and decided to join hands with the Congress to put pressure on the British government. Prior to this, the main objective of the Muslim League was to preserve only Muslim interests.

However, Muslim leaders from Punjab, led by Muhammad Shafi stood for the preservation of Muslim rights without alienating the sympathies of the British government and opposed the Lucknow Pact signed on 28 December 1916.

Muhammad Shafi and his other conservative friends like Maulvi Rafi-ud-Din, Abdul Aziz and Syed Ali Raza opposed the cooperation between the All-India Muslim League and the Indian National Congress, on the grounds that it would sacrifice the Muslim majority in provinces of Punjab and Bengal. He wanted to stress the separate Muslim entity and refused to give up his thinking, which according to him was the very blood of the Muslim nation.Jahanara Shahnawaz, Father and Daughter: A Political Autobiography (Lahore: 1971)

According to S. Qalb-i-Abid the conservative leaders in the Punjab Muslim League under Sir Muhammad Shafi's leadership were advised by the Punjab's administration to revolt against the supporters of Muhammad Ali Jinnah on various important political developments from time to time. The revolt against Mr. Jinnah became very serious splitting the Punjab Muslim League into two groups – the Jinnah group and the Shafi group. These deep divisions had earlier been created with British support on the eve of the conclusion of the historic Lucknow Pact of 1916 between the Congress and the Muslim League.Unionist – Muslim League relations and the Punjab Administration, by S. Qalb-i-Abid [J.R.S.P., Vol. 45, No. 2, 2008]

Delhi Muslim proposals and Simon Commission In 1926, Sir Muhammad Shafi's was elected as president, while Sir Muhammad Iqbal was elected as general secretary.M. Rafique Afzal, 'Origin of the Idea of a Separate Muslim State', JRSP (1966), It is worth mentioning that Sir Muhammad Iqbal was also elected as a member of Punjab Council in the same year and started his political innings in a tremendous manner. During the period between 1927 and 1930, Punjab Muslim League also opposed central All India Muslim League due to differences over Delhi proposals and boycott of Simon Commission.Iqbal and Provincial Politics of Punjab (1926–1938), by Khurram Mahmood.

On the last two issues, Mr. Jinnah was sincerely trying to find a solution of ever-increasing communalism in Indian politics and at the same time he was trying to establish a common front for the freedom of India. But the Punjabi group of politicians with the support of British administration in India, engineered a coup d'état against Mr. Jinnah's leadership and successfully relegated the All India Muslim League to the background. At this point in time, both the British administration and the Congress party were happy that in their opinion, Mr. Jinnah could no longer represent the Muslims of British India. The All India Muslim Conference with official patronage emerged as a political organisation under the leadership of Sir Sultan Muhammad Shah Aga Khan to represent the Muslims opinion in India replacing the All India Muslim League with all practical purposes.

Nehru Report (1928) not only worsened the political situation but also ended the hopes of any future rapprochement between Hindus and the Muslims. It had left no alternatives for Muslims except to think in terms of separation from Indian federation and to ask for division of India. Due to this report, both Punjab Muslim League and All India Muslim League forgot their difference and the Muslim leaders took almost identical position on various issues

The British governor of the Punjab and the UP arranged a very high position for the Unionist party's top brass, their allies and also for their nominees to assume a leading role in all the negotiations for constitutional advance in India at the Round Table Conferences in London in 1930s leading to the Government of India Act – 1935. The All India Muslim League had little to say in these negotiations and it was under these circumstances that Mr. Jinnah had to spend a few years in self-exile in London.

Allahabad address

On 29 December 1930 Sir Muhammad Iqbal delivered his monumental address. He said:A.R. Tariq (ed.), Speeches and Statements of Iqbal (Lahore: 1973),

I would like to see Punjab, North-West Frontier Province, Sindh and Balochistan amalgamated into a single state. Self government within the British Empire or without the British Empire, the formation of a consolidated North-West Indian Muslim state appears to me to be the final destiny of the Muslims, at least of North-West India.

Sir Muhammad Iqbal did not use the word "Pakistan" in his address. According to some scholars, that Iqbal had not presented the idea of an autonomous Muslim State; rather he wanted a large Muslim province by amalgamating Punjab, Sindh, NWFP and Baluchistan into a big North-Western province within India.K.K. Aziz, Making of Pakistan (London: 1970), p.81. They argued that "Iqbal never pleaded for any kind of partition of the country. Rather he was an ardent proponent of a 'true' federal setup for India..., and wanted a consolidated Muslim majority within the Indian Federation".Verinder Grover (ed.), Muhammad Iqbal: Poet Thinker of Modern Muslim India Vol. 25 (New Delhi: Deep & Deep Publications, 1995), pp.666–67.

Another Indian historian Tara Chand also held that Iqbal was not thinking in terms of independence but in terms of a federation of autonomous states within India.Tara Chand, History of Freedom Movement in India Vol. III (New Delhi: 1972), p.253. Dr. Safdar Mehmood also fell a prey to the same misconception and in a series of articles he asserted that in Allahabad address Iqbal proposed a Muslim majority province within the Indian federation and not an independent state outside the Indian Federation.lang, 23, 24 & 25 March 2003; Also see, Safdar Mahmood, Iqbal, Jinnah aur Pakistan (Lahore: Khazina Ilm-wa-Adab, 2004), pp.52–69.

On 28 January 1933, Choudhary Rahmat Ali voiced his ideas in the pamphlet entitled "Now or Never;Full text of the pamphlet "Now or Never," published by Choudhary Rahmat Ali, http://www.columbia.edu/itc/mealac/pritchett/00islamlinks/txt_rahmatali_1933.html Are We to Live or Perish Forever?" The word 'Pakistan' referred to "the five Northern units of India, viz. : Punjab, North-West Frontier Province (Afghan Province), Kashmir, Sind and Baluchistan"". By the end of 1933, the word "Pakistan" became common vocabulary where an “I” was added to ease pronunciation (as in Afghan-i-stan). In a subsequent book Rehmat Ali discussed the etymology in further detail. "Pakistan' is both a Persian and an Urdu word. It is composed of letters taken from the names of all our South Asia homelands; that is, Punjab, Afghania, Kashmir, Sindh and Balochistan. It means the land of the Pure".

According to some scholars,Khalid Hasan, Let Chaudhry Rehmat Ali lie in peace http://www.khalidhasan.net/2004/10/15/let-chaudhry-rehmat-ali-lie-in-peace/ "Rehmat Ali’s concept of Pakistan was nebulous, impractical and fantasy-ridden. It was to include the entire northwest of India, Kashmir, the Kathiawar peninsula, Kutch, and several enclaves deep within UP, including Delhi and Lucknow. There were to be two independent Muslim states besides Pakistan: Bangistan comprising Bengal and Assam in the east and Osmanistan in the south. These two were to form a federation with Pakistan. The 243 principalities or Rajwaras were to be divided among caste Hindus and “others” and then herded together in a ghetto called Hanoodia. As for the Sikhs, they were to be pushed into an enclave called Sikhia. Other races and religions were to inhabit an encampment by the name of Hanadika. Every non-Muslim was to remain subservient to the master race he called “The Paks”, and yes, the subcontinent was to be renamed Dinia. He did not say how he was going to bring all that about."

The British and the Indian Press vehemently criticised these two different schemes and created a confusion about the authorship of the word "Pakistan" to such an extent that even Jawahur Lal Nehru had to write: ""Iqbal was one of the early advocates of Pakistan and yet he appears to have realised its inherent danger and absurdity. Edward Thompson has written that in the course of conversation, Iqbal told him that he had advocated Pakistan because of his position as president of Muslim League session, but he felt sure that it would be injurious to India as a whole and to Muslims especially."J.L. Nehru, Discovery ofIndia (New York: 1946), p.353.

Sir Muhammad Iqbal disapproved the scheme of Ch. rahmat Ali because there were seven or eight other imaginary and utopian ‘…stans’ linked with this scheme. He wrote to Prof. Edward John Thompson of Oxford University, that You call me a protagonist of the scheme called "Pakistan". Now Pakistan is not my scheme. (Iqbal is here, referring to Ch. Rehmat Ali's scheme of Pakistan) The one that I suggested in my address is the creation of a Muslim Province – i.e.; a province having an overwhelming population of Muslims in the North-West of India. This new province will be, according to my scheme, a part of the proposed Indian Federation. Pakistan scheme (i.e., scheme of Ch. Rahmat Ali) proposes a separate federation of Muslim Provinces directly related to England as a separate dominion. This scheme originated in Cambridge. The authorsCh. Rehmat Ali, Khawaja Abdur Rahim, Muhammad Aslam Khan, Sheikh Muhammad Sadiq, Inayatullah Khan of Cambridge. of this scheme believe that we Muslim Round Tablers have sacrificed the Muslim nation on the altar of Hindu or the so called Indian Nationalism.

Like Iqbal, Jinnah also disapproved this scheme and considered itFrank. Moraes, Witness to an Era (Bombay: Vikas Publishing House, 1973), pp.79–80. as some sort of Walt Disney dreamland, if not Wellsian nightmare", and thought that "he felt the professional's contempt for the amateur's mistake of showing his hand without holding the trumps.

Punjab Muslim league and Unionist Party (Punjab)