The Karaikal, including the fort of Karakalcheri and 8 dependent villages, came under the possession of the French on 14 February 1739 and by 1761, when the French surrendered to the British, the total territory that the French possessed around Karaikal was 81 villages.

The territory was then passed to the British twice before it was finally handed over to the French in 1816 under the Treaty of Paris and the French ruled Karaikal till 1954, even after the Indian Independence in 1947. The power was transferred on 1 November 1947 followed by de jure transfer in 1962. However, Karikal’s municipal administration continued until the promulgation of the Pondicherry Municipality Act, 1973 with effect from 26th January 1974.

The city is famous for the Temple of Lord Saturn (Sanishwaran) Thirunallar, Theppa Kulam, Governor Mahal (Collector’s Office), the Dharga of Masthan Sahib Valiullah and well-known for the famous street names (Bharathiyar Street, Church Street, Kamarajar Street, Thirunallar Street and Nehru Street). The calm beaches and the famous Karaikal Carnival, which includes competitive cultural and sports, are yet other major tourist’s attraction of this beautiful and serene town.