The temple is believed to be built after Goddess Bhadrakali told the priest to dig the hill where they found her statue.
The ancient writings in the Vayu Purana and Mahabharat explain the creation of Bhadrakali by the Devi’s wrath when Daksha insulted Lord Shiva during the great Ashvamedha Yagya (Horse Sacrifice).
Tantra Rahasya mentions her rising from the north face of Lord Shiva, (Uttaramnaya Amnayas) which is blue in color and has three eyes.
She is believed to take on a terrible aspect that is represented with three eyes and four, twelve or eighteen hands carrying weapons with flames flowing from her head and a small tusk sticking out from her mouth.
The main murti is a black stone statue of Bhadrakali and is believed to have been enshrined by the Lichchhavi kings.