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It was mentioned in Sri Bhagavatam, that even goddess Lakshmi feared to approach Lord Narasimha (reference) after Lord Narasimha killed Hiranyakasyapu. Bhagavatam also mentions the formation of goddess Lakshmi, which occurred during the churning of Milk ocean.(reference)

At the time of churning of the demons headed by Bali Maharaj (see here)

At the time of killing Hiranyakasipu his son Prahlada is a child.

Linking these two and by additional fact that Bali Maharaj is Grandson of Prahlada(reference), how can Godess Lakshmi who was appeared/created by churning of milk ocean (i.e at the time of Bali Maharaj) can appeare at the time of killing of hiranyakasyapu (when prahlada was a child and so Bali maharaj was not even born)

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    Can't give you correct references right now, but it was like Goddess Lakshmi existed before Sagar Manthan, she just disappeared because of curse of Rishi Durvasa and later came back from Sagar Manthan. – Aby Feb 7 '17 at 15:27
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Goddess Lakshmi was not created by churning of milk ocean. She is eternal.

Lord both male and female

The people in general regard him [Lord Vasudeva] as twofold: of the form of male and of the form of female. The two should not be considered to be separate entities, O lord of birds. If the lord were separate from the female form, o lord of birds, how could the woman be his reflection? Hence the female is inseparable from the male form. The two forms constitute the very nature of the lord. This should not be taken otherwise. The neutral form is alien to his nature. It is the effect and not his real nature. It is not present in Hari, O lord of birds. Know that in the form of Hari there is reflected the form of Lakshmi.

[Garuda Purana, Moksha Khanda, chapter III]

  • Due to a curse of a sage (Dhurvasar I think) Indra suffered loss of his Ishwarya and not just Indra the whole world lost Ishwarya. It was also said by upanyasakaras with a light vein that Lord Sriman Narayana helped to churn the milky ocean not for amirtha or for welfare for devas but to bring out her divine consort. – Narayanan Feb 8 '17 at 5:09

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