HYDERABAD Hyderabad State was an Indian princely state located in the south-central region of India with its capital at the city of Hyderabad . It is now divided into Telangana state, Hyderabad-Karnataka region of Karnataka and Marathwada region of Maharashtra . The state was ruled from 1724 until 1948 by a hereditary Nizam who was initially a Mughal governor of the Deccan before becoming independent. Hyderabad gradually became the first princely state to come under British paramountcy signing a subsidiary alliance agreement. After the Partition of India , Hyderabad signed a standstill agreement with the new dominion of India , continuing all previous arrangements except for the stationing of Indian troops in the state. However, with the rise of militant razakars , India found it necessary to station Indian troops and invaded the state in September 1948 to compel the Nizam. Subsequently, the Nizam signed an instrument of accession , joining India.