Legendary tales and the Hindu folklore says that it was to save the world from the anger of Shiva, as he took the corpse of Sati and wandered. The same legend says that the left eye of the Sati fell at Munger, which subsequently developed into a place of worship of the Divine Mother Chandi. Among the different Shakti peethas Chandika Sthan is famous for the cure of eye troubles, as per the traditional belief of the local folklore.

The Chandika Sthan Temple is believed to be a Shakti Peetha, the divine shrine of Shaktism. The mythology of Daksha Yaga and Sati's self-immolation and Shiva carrying the corpse of Sati Devi is the story of origin behind the Shakti Peetha shrines. It is believed that Sati Devi's left eye has fallen here.