Decline
During the campaign, Sansar Chand and his mercenary force overran other nearby principalities and compelled the submission of their rulers. He reigned over a relatively large part of present-day Himachal Pradesh for some two decades, but his ambitions brought him into conflict with the Gorkhas ruling the then nascent state of Nepal. The Gorkhas and the recently humbled hill-states allied to invade Kangra in 1806. Sansar Chand was defeated and left with no territory beyond the immediate vicinity of the fortress of Kangra, which he managed to retain with the help of a small Sikh force sent to his aid by Ranjit Singh.
In this despair, Sansar Chand treated with Ranjit Singh at Jawalamukhi in 1809. By that treaty, he surrendered his (now largely notional) state to Ranjit Singh, in return for a fief to be held under the suzerainty of the latter. Ranjit Singh duly established his rule over the land; Sansar Chand received in appenage the estate of Lambagraon. This estate, spread over an area of 324 km2., consisted of 438 villages, yielding a revenue of Rs. 1,76,000/- in 1947.
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