I think this contains a form of the ubiquitous legend
banda-yi shah-i vilayat ...
'Slave of the King of Trusteeship (i.e. 'Ali)', found in association with the name of one of the Safavid Shahs.
As I'm sure you know these were found on numerous swords, most often anachronistically, over a period of hundreds of years from both Iran and India, sometimes along with attributions to Asadallah Isfahani or Kalb-'Ali. I do not think the person who made this knew what he was copying however as some of the letters are joined up oddly and there is missing the name of one of the shahs which you would normally expect.
I would need to see the inscription more closely but I think you can see at the bottom most clearly the word بنده (banda), above this you can see the یت (yat) of the word vilayat, the لا (la) of which is at the end of the next line up, oddly joined to what looks as though it should have been the word شاه (shah). The letter و (v) of the word vilayat is above this.
If this is correct, then the form in which it appears is different to that on most swords were it is clearly legible, inlaid rather than stamped, and in conjunction with the name of one of the shahs.
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