The CR formula enunciated a post-war commission to demarcate contiguous districts in North West and North East India where Muslims had an absolute majority; plebiscite of all inhabitants in such areas to decide whether they would prefers a separate Pakistan, mutual agreement in case of separation to run certain essential common services live defence or communications; and the implementation of the whole scheme only after full transfer of power by the British (with the League endorsing the Congress demand for Independence and co-operation with it in forming an interim government in the transition period.
Jinnah rejected the CR Formula and reiterated the demand for the separation of the whole of six provinces (Punjab, Sind, Baluchistan, NWFP, Bengal and Assam), subject to minor adjustments, and attacked the formula as offering only ‘a shadow and a husk, a maimed, mutilated and moth-eaten Pakistan.’ He also argued that separation could not be deferred till after Independence, considered common services to be unnecessary and felt that plebiscites with both Muslims and Hindus voting contradicted the basic principle of Muslims being a distinct nation with an inherent right of self determination.
Thus Jinnah rejected the CR Formula because it was against his notion of ‘two nation theory’ and a sovereign Pakistan. Moreover Jinnah didn’t want a truncated Pakistan. Jinnah feared losing vote banks of Muslim if he participated in the interim government with congress further he was impatient to gain acceptance for his plant of Pakistan by the British itself before they left India because he feared domination by Congress and ‘Hindus’. Jinnah also wanted congress to explicitly accept ‘two nation theory’ and ‘Pakistan which was not in CR Formula.
Thus Jinnah had got too contaminated with the germ of communalism to see any good idea in a common future. His stubborn attitude for Pakistan made him reject CR Formula. He was fearful of possible Congress domination, losing Muslim Vote banks, and thus rejected CR Formula. Jinnah had already decided his final goal to any how create a sovereign Pakistan and any negotiation or formula which fell short of that ‘final goal’ were bound to be rejected by him, and thus CR Formula also met the same fate.
Moreover, Indians in London was demanding India Home Rule League.