Ali Chamundi Kshetram is located in the village of Arikkady, which is about 15 km east of Kasargod
. The temple is dedicated to Goddess Chamundi
Legend has it that, about 800 years ago, there was a wizard named Ali Mantrika in Arikkady who used his magical powers for evil deeds. The people pleaded Goddess Chamundi and she promised to save them from him. Being aware of the fact that the magical powers of the wizard occur from a talisman he wore, the goddess played a trick and removed it. After the goddess had killed Ali, she granted the status of bhoota (heavenly servant) on him and she asked her devotees to build a shrine for him near the main temple.
Kaliyata is an important festival celebrated here.