However, the kingdom's grip on the region was weak, and by 1370 they were forced to surrender it to Harihara I of the Vijayanagara empire. The Vijayanagara monarchs held on to the territory until 1469, when it was appropriated by the Bahmani sultans of Gulbarga. After that dynasty crumbled, the area fell to the hands of the Adil Shahis of Bijapur who established as their auxiliary capital the city known under the Portuguese as Velha Goa.
In 1510, the Portuguese defeated the ruling Bijapur kings with the help of a local ally, Timayya, leading to the establishment of a permanent settlement in Velha Goa (or Old Goa).
In 1843 the capital was moved to Panjim from Velha Goa. By the mid-18th century the area under occupation had expanded to most of Goa's present day state limits. Simultaneously the Portuguese lost other possessions in India until their borders stabilised and formed the Estado da India Portuguesa, of which Goa was the largest territory.
After India gained independence from the British in 1947, Portugal refused to negotiate with India on the transfer of sovereignty of their Indian enclaves. On 19 December 1961, the Indian Army commenced with Operation Vijay resulting in the annexation of Goa, Daman and Diu into the Indian union. Goa, along with Daman and Diu was made into a centrally administered Union Territory of India. On 30 May 1987, the Union Territory was split, and Goa was made India's twenty-fifth state, with Daman and Diu remaining a Union Territory
