The boulder with inscriptions of Vishnukundins period at Chaitanyapuri in Hyderabad was discovered by Dr. Sastry
Hyderabad's fame, strategic location and Golconda's legendary wealth attracted Aurangazeb who captured Golconda after a long seize in 1687. After this defeat the importance of Hyderabad declined and the city fell into partial ruins. As the Moghul empire decayed and began to disintegrate, the viceroy, Asaf Jah I proclaimed himself the Nizam and established independence rule of the Deccan.
Hyderabad once again became a major capital city, ruled by successive Nizams of the Asaf Jahi dynasty until the state was merged into Indian Union in 1948.
SECUNDERABAD: In 1798, a subsidiary alliance for military and political cooperation was signed between the Nizam and the British East India company. There after an area north of what is now the Hussain Sagar was established as a cantonment. The area was named Secunderabad after the then Nizam, Sikander Jah.
Asif Jah I continued to maintain Aruangabad, which had been founded by the Mughal rulers as the capital of his new state. In 1769, Nizam Ali Khan Asif Jah II, shifted the capital to Hyderabad. The seven Nizam's of the Asif Jahi dynasty ruled the Deccan for nearly 224 years, right up to 1948. During the Asif Jahi period, Persian, Urdu, Telugu and Marathi developed simultaneously. The highest official positions were given to deserving persons irrespective of their religion.
Persian was the official language up to 1893 and then Urdu up to 1948. When the British and the French spread their hold over the country, the Nizam soon won their friendship without bequeathing his power. The title "Faithful. Ally of the British Government" was bestowed on Nizam VII. The British stationed a Resident at Hyderabad, but the state continued to be ruled by the Nizam. The rule of the seven Nizam's saw the growth of Hyderabad both culturally and economically. Huge reservoirs, like the Nizam Sagar, Tungabadra, Osman Sagar, Himayath Sagar, and others were built. Survey work on Nagarjuna Sagar had also begun during this time. Hyderabad, under the Nizam's, was the largest princely state in India. Area wise it was as big as England and Scotland put together. The State had its own currency, mint, railways, and postal system. There was no income tax.