In 1740 when an allied force, led by Dutchman Captain Hockert supporting the Deshinganadu King, attacked Venad, an army from Kilimanoor resisted and then defeated them. Although a small victory, this was the first time an Indian army had defeated a European power. In 1753, in recognition of this feat, Marthanda Varma exempted the areas controlled by the Kilimanoor palace from taxes, and granted them autonomous status. The present palace complex was built at this time, together with the Ayyappa temple. for the family deity, "Sastha" or Ayyapan.