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In 1635, he was appointed Governor-General of the Dutch East Indies, his appointment taking effect on 1 January 1636.Van Diemen's nine years as Governor-General were successful and important for both the colony and the commercial success of the Dutch East India Company. He devoted much of his energy to expanding the power of the company throughout South-East Asia. Under his rule Dutch power was established in Ceylon (now Sri Lanka) via Trincomalee.

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