Karak Durganaek, located deep in the belly of Grungron Mountain, is the ancestral home of the Dwarves. It is ruled by High King Nainian Stonewind, and is allied with the Circle of Levant. The High King is traditionally a member of the Circle (though not necessarily), and is tasked with overseeing the peoples in the norther reaches of Bhyrmia. Usually the Circle and the High King leave each other mostly alone - and there is minimal interaction between the two parties, which works out best for everyone involved.
The city is also home the Festag of Alor, making it a popular destination for travel within the kingdoms.