Azad Kashmir, a name which means "Free Kashmir" in Urdu, is claimed to be an independent state established by Pakistan in a part of the former princely state of Jammu & Kashmir that is occupied by Pakistan. It is the Pakistani name for the region that India calls "Pakistani occupied Kashmir"
Pakistan divided the area under its occupation into three parts:
The Islamic Republic of Azad Jammu & Kashmir,
The Northern Areas, which are administered as a de facto 'Union Territory' and as an integral part of Pakistan, and
The Trans-Karakorum, which it gifted to China PRC in 1961.
Ostensibly autonomous, the Islamic Republic of Azad Jammu & Kashmir is administered directly by a Secretary to the Pakistan Government - the Secretary for Azad Jammu & Kashmir - while it has a nominally independent setup, with President, Prime Minister, legislature, etc.