In January 1948, Ladakh lay largely unprotected and the Pakistani raiders were gradually closing in on it.Major Khushal Chand was sent to delay the advance of the enemy. This the major did with great skill and ingenuity, using guerilla tactics. He would strike and retreat and then strike again somewhere else, making the enemy think there was a large Indian force in the area. On one occasion he and a sepoy held a bridge for 24 hrs. In the night while sepia kept firing, he set fire to the bridge , leaving the enemy stringed on the other side. The major's tactics slowed down the progress of the enemy and gave the Indian army time to organise the defence of Ladakh.
He was awarded the Mahavir Chakra.