The Daksh Mahadev Temple lies to the south of Kankhal town and is dedicated to Lord Shiva. This temple is named after king Daksh Prajapati, the father of Lord Shiva's wife, Goddess Sati. Legend has it that once the king hosted a holy yajna (a fire ritual) at this site. However, since he did not invite Lord Shiva, Goddess Sati felt insulted and immolated herself in his yajna. Out of anger, the ganas (Lord Shiva’s followers) killed king Daksh. Lord Shiva then brought him back to life and put the head of a male goat on him. The king later realised his mistake and repented before the lord, who declared that during the month of Saavan (June-August), he would live in Kankhal. The Sati Kund located on the banks of River Ganga is also considered sacred and has been mentioned the epic Mahabharata.

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