 Developed into a free port, the city state was subsequently governed as part of the Straits Settlements, together with Singapore and Malacca; the state capital, George Town, briefly became the capital of this political entity between 1826 and 1832.By the end of the 19th century, George Town prospered and became one of the major entrepôts in Southeast Asia.During World War II, Penang was conquered and occupied by the Japanese Empire from 1941 to 1945.