The city of Siálkot is believed to have been founded by one Raja Sul or Sálá , the uncle of Pandhavas, whose heroic deeds are recorded in the epic Mahábhárta. After his death some 5000 years ago, there is a tradition that the dynasity continued for some 1500 years and then the country was flooded and remained one vast uninhabited region for about 1000 years. The popular belief is that it was re-founded in the reign of Vikramaditya of Ujjain by Raja Sáliváhan or Sálbán, who built the fort and city and gave the place its present name. He was of Sia caste, and it is believed that the word "Sialkot" means 'the fort of Sia'. Legend also says the Salivahan had two sons; one Puran by name , was killed by the instrumentality of a wicked step-mother, and thrown inot a well, still the resort of pilgrims near Sialkot , called "Puran ka Kunwna", the well of Puran. (A Mohalla in the city is also named "Puran Nagar") Other son of Salivahan , Rasalu, became involved in wars with Raja Hudi, popularly stated to have been a Gakkhar chieftain. Being worsted in battle, Rasalu, as the price for piece, was forced to give his daughter in marriage to his conqueror, who gave the territory he had conquered to Rasalu's adopted son.

Early History:
Sákala ( now Siálkot city ) was the capital of the Madras who are known in the late Vedic period ( Brihadáranyaka Upanishad ). Sákaladvipa , or the 'island of Sákala' was the name of the doáb, or the land lying between the two rivers, between Chandrabhága (Chenab) and Irávati (Ravi). Sákala was the capital , or one of the capitals, of the Greek kings of the House of Euthydemus, and the residence of Menander (Milinda). After the invasion of the Húnas (Huns) in the last quarte of the fifth century A.D. it became the capital of Toramána and his son Mihirakula. The antiquities of Sialkot are discussed by Sir Alexander Cunnigham in his Archaeological Survey Reports, II, 21, 22, and XIV, 44 to 47. It's early history is closely interwoven with traditions of the Raja Sáliváhan, his son Raja Rasálu and his foe, Raja Húdi, so famous in Punjab folk-lore

Now

Sialkot, city and district, Gujranwala division, Punjab Province, Pakistan. The city, the district headquarters, lies just north of the Aik Nala (Aik Stream) and south of the Jammu Hills and is connected by rail with Wazirabad and Jammu and by road with Lahore and Gujranwala. It was once famous as a centre for the manufacture of damascened ware and paper; its modern industries include flour and cotton mills and the production of sporting goods.