A week after his return from Surat, Shivaji received the news of the death of his father Shahaji in Raigad fort. Shahaji died in an accidental accident on 23 January 1664 while playing hunting. Hearing the news of Shahji's death, Jijabai decided to commit Sati, but Shivaji and Samarth Guru Ramdas with great difficulty prevented the brother-in-law from committing Sati. After retiring from the last actions of his late father, Shivaji again attacked the Mughals. After Surat, Shivaji attacked the Mughal territories located between Aurangabad and Ahmednagar and took back many of his forts from the Mughals. Muazzam, the Mughal Subedar of the South, was the son of Aurangzeb but he was unable to do anything against Shivaji. Shivaji's fleet also started tampering with passenger ships going from Surat to Mecca and started destroying the territories of the Mughals because the Lal Mahal of Poona was still under the control of the Mughals. In October 1664, Shivaji plundered Vengurla city under Bijapur.
After this he attacked Khawas Khan and also damaged him. Baji Ghorpade, the vassal of Mudhol, came to the aid of Khawas Khan with army and money. Shivaji killed Ghorpade in a direct battle. It was the same Baji Ghorpade who had taken Shahaji captive and handed over to Adilshah in AD 1648 by inviting Shivaji's father Shahji for a meal at his house. It is known that Sajjan Singh or Sujan Singh, the ancestor of Shivaji, came to the south from Mewar in the fourteenth century, his seventh generation descendant Bhim Singh was given the title of Raja Ghorpade by the Sultan of Bahmani kingdom and the jagir of 84 villages in Mudhaul. Shahji and the present Jagirdar Baji of Mudhol were the descendants of the same Ghorpade Jagirdar, but the crooked moves of politics made both of them fierce enemies of each other. Shivaji snatched the money that Baji Ghorpade had brought to give to Khawas Khan.
After estimating his power to the Mughals, Shivaji wrote a letter to Aurangzeb in AD 1664- "The emperor sent his generals to destroy my country without any reason and took possession of my fort and palaces. Your commander Afzal Khan has been destroyed and Shaista Khan has been humiliated and returned. I am protecting my country which is my religion. The invaders of my country have always had to face defeat. Thank God for this. I would like to inform you that my home (state) is not as vulnerable as it was before when your armies took over it. Today my country (state) has 600 miles long and 120 miles wide, high mountains and 60 invincible forts protect it. I suggest that you do not drag me or anyone else into battle without any reason. Your friend- Shivaji."
Aurangzeb, after the failure of the Muslim Subedars, appointed a Hindu king, Amber Naresh Jai Singh as the Subedar of the South in place of Muazzam, the Subedar of the South, and sent Diler Khan as his assistant. Along with Jai Singh, Bundela kings were also sent to the south. In March 1664, Maharaja Jai Singh reached Poona and set up his camp and started tightening the noose on Shivaji. On 30 March 1665, Jai Singh besieged many forts including the fort of Purandar. Jai Singh sent a message to Shivaji that he should make a treaty with the Mughals. This would greatly increase the status of Shivaji. At this time 4000 soldiers and 3000 farmers were taking shelter in the fort of Purandar. On 27 April 1665, the Mughal army set fire to about 50 villages around Rohida fort. Four villages located in the mountains were buried in the soil and many innocent people were taken captive. Jai Singh's forces burnt the nearby villages of Kondana fort on 2 May 1665. On 5 May 1665, Qutubuddin Khan burnt the nearby villages of Kimwari fort to ashes. On the same day, the Mughals also set fire to the densely populated villages below Lohagarh. The Mughals also captured Rudramal. In this way, there was an uproar all around among the subjects of Shivaji. Shivaji's trusted general, Murar Baji, came in handy while fighting the Mughals.
On one side the Mughal armies were wreaking havoc on the subjects and on the other, Jai Singh joined some of Shivaji's assistants by giving them money. Due to this there was a possibility of horrific bloodshed of the people living in Purandar fort. Shivaji sent proposals for treaty by writing letters to Jai Singh several times, but Jai Singh did not want to talk less than Shivaji's complete surrender. Due to Jai Singh's diplomatic tricks and military pressure, Shivaji suddenly appeared near Jai Singh's military camp on 11 May 1665, carrying five or six Brahmin ministers. As soon as the news of his arrival came, there was restlessness among the Mughals and they waited for some untoward incident to happen. Shivaji sent a request to meet Jai Singh at the hands of his ministers. Jai Singh did not meet Shivaji out of fear of Diler Khan and sent him along with his son to Diler Khan. Although Diler Khan was working under the Maharaja, this slanderer could at any time divert the emperor's heart on behalf of the Maharaja by sending any false information. Diler Khan was pleased with this act of Jai Singh and himself reached Jai Singh's tent with Shivaji. At the behest of Jaisingh, Diler Khan handed over Shivaji to Jai Singh's protection.
On being solitude, Shivaji said to Jai Singh- "I am taking all these actions for the protection of Hindutva and Maharaja Jai Singh should also support me in this work of national importance. The emperor's armies have vandalized ancient Hindu temples and imposed jizya on the Hindu caste by humiliating and destroying the deity idols. Pilgrimage tours are harassed." Jaising said that whatever happens, the emperor is our master, we should accept his submission. On this Shivaji said to Jaisingh- "Were not Shah Jahan and his son Dara Shikoh your masters! Was it not your religion to protect them! Both of them had loved you all their life, but why did you abandon them and become in favor of Aurangzeb! Today the kingdom of the Mughals is running on the basis of Rajputs. You leave the side of the king who oppressed the Hindus. This will benefit the country."
These things had no effect on Jai Singh and he kept on pressurizing Shivaji to make a treaty. He told this to be the only way to save Shivaji from the bloodshed of the Marathas. Many forts of Shivaji were under the siege of the Mughals at this time. Shivaji himself was in the camp of the Mughals unarmed. In a way, at this time she was a prisoner of Jaisingh. So Shivaji had to be ready to make a treaty on humiliating terms. In the history of India it is called Treaty of Purandar. The main conditions of this treaty were as follows-
1. Shivaji will dedicate his 23 famous forts to the emperor whose revenue was about 4 lakh hon i.e. 16 lakh rupees.
2. Sambhaji, son of Shivaji, will attend the service of the emperor and do regular service. In return he will get five thousand mansab.
3. Shivaji will give full cooperation to the Mughals along with his army in fighting Bijapur.
4. Shivaji will keep only 12 forts including Rajgarh and a revenue of one lakh rupees on the condition of service and loyalty of the emperor
5. Shivaji will be exempted from the king's khidmat and mansab.
This treaty letter was sent to Aurangzeb for approval. Aurangzeb was not pleased with this treaty. He wanted the extradition of all the forts of Shivaji, but Jai Singh refused. Therefore Aurangzeb sent his approval. Shivaji walked 6 miles away from his tent to get that acceptance letter and handed over the keys of 23 forts to Jai Singh after taking the treaty. Jaisingh sent those keys to Aurangzeb. In this way both the sides took a sigh of relief but after some time Aurangzeb started pressurizing Jai Singh to bring Shivaji to Delhi. Jai Singh asked Shivaji to go to Delhi and meet the emperor personally, but Shivaji refused every time.
Manuchi, the author of Storia the Mogor, met Shivaji in Jai Singh's camp and spent some time with him. Manuchi has written that when Shivaji was in Jai Singh's camp, Diler Khan requested Jai Singh several times to allow Diler Khan to kill Shivaji or Jai Singh himself, but Jai Singh did not agree to it. Diler Khan kept saying repeatedly that King Aurangzeb would be very pleased to kill Shivaji, but Jai Singh had promised Shivaji that Shivaji would be protected and he would be treated with respect by the emperor.
After some time Jai Singh attacked Bijapur state. In this attack, Shivaji had to accompany Jai Singh with his army. Netaji Palkar, an aide of Shivaji, also accompanied Shivaji in this war. Netaji Palkar was called the second Shivaji. The armies of Jai Singh and Shivaji together made a strong attack on Bijapur, due to which the Bijapur army retreating from its border was confined to the gate of Bijapur. Jai Singh's victory was clearly visible, but there was a difference of opinion between Shivaji and Netaji Palkar and Netaji left Shivaji and went towards Bijapur. At the same time there was a difference of opinion between Jai Singh and Diler Khan. Due to this the action of Jaisingh got weakened. On the other hand, the Golconda armies came to the aid of Bijapur. Due to this Jai Singh had to retreat and this attack did not yield any result. Jaisingh was so impressed by Netaji Palkar's bravery that he got Netaji Palkar in his side by giving a lot of money. Now he became the commander of the Mughals, not being an assistant to Shivaji.