Montagu report of 1918 was made public; there was a divide in the Congress over it. The moderates welcomed it while the extremists opposed it.  

• This led to a schism in the Congress with moderate leaders forming the “Indian National Liberal Federation” in 1919.  
• The party (INLF) was founded by Surendra Nath Banarjea and some of its prominent leaders wereTej Bahadur Sapru,S. Srinivasa Sastri and M. R. Jayakar. 

Source: Spectrum Modern India.