The Portuguese occupied Dadra and Nagar Haveli between 1783 and 1785 and ruled it till its liberation in 1954. The regime was marked by rapacity and corruption on the part of Government and its officials, exploitation of the local Tribal Population by a handful Sahukars (money lenders) and total indifference to the welfare of the people. About 170 years of Portuguese rule was brought to an end on 2 August 1954 by the volunteers of Goa parties acting in close cooperation with the local inhabitants. After its liberation, the administration of the territory was carried on by an Administrator with an Advisor to advise him on all administrative matters and soon steps were taken to associate the local people in the administration by the creation of Varistha Panchayat and Group Panchayat.
On 12th June 1961, the Varistha Panchayat unanimously passed a resolution for integration with the Indian Union. On 11.08.1961, the territory became nationally united by the Dadra and Nagar Haveli Act 1961 (No.35 of 1961) passed by the Parliament. Consequently, the free Dadra & Nagar Haveli Administration was succeeded by a formal statutory Administration headed by an Administrator, Dadra and Nagar Haveli comprising of 72 villages and one town Statutory and 5 Census Town from a single district and single taluka as Union Territory. The union territory was merged with the neighbouring union territory of Daman and Diu to form the new union territory of Dadra and Nagar Haveli and Daman and Diu on January 26, 2020. The territory of Dadra and Nagar Haveli then became one of the three districts of the new union territory, as the Dadra and Nagar Haveli District.