After his dismissal from Mecca, he is next mentioned as one of the two envoys sent by Caliph
Yazid II () to the former
governor of Iraq,
Yazid ibn al-Muhallab, hoping to prevent his rebellion. When Khurasan was under his jurisdiction, he appointed his brother,
Asad, to its governorship (725–727 and 734–738). In the event, however, this backfired: the Qaysis resented Khalid for his replacement of their champion, Ibn Hubayra, while the Yamanis themselves did not support him wholeheartedly, even though he staffed his administration with Yamanis; it was only his replacement in 738 with another Qaysi governor,
Yusuf ibn Umar al-Thaqafi, that confirmed Khalid as a "Yamani" governor in the later tradition. Details of his long tenure are relatively unknown. With the exception of the suppression of a
Kharijite revolt of Bahlul ibn Bishr al-Shaybani in the north and a
Shi'ite extremist movement of al-Mughira ibn Sa'id in
Kufa and of Wazir al-Sikhtiyani in
al-Hirah in 737, his governorship seems to have been generally peaceful. He is also held responsible for the execution of
al-Ja'd ibn Dirham, a "rather shadowy figure associated with a variety of religious doctrines". His governorship was also marked by the minting of high-quality coinage, by increasing, at the orders of Hisham, the weight of the silver
dirham from six to seven
daniqs. After his dismissal, this change was reverted. Khalid is also accused by some late anti-Umayyad traditions of having been ambivalent or even hostile towards Islam. These same late traditions presented him as a sceptic or an atheist (
zindiq) and favourably disposed towards the non-Muslim groups, especially the Christians. it states that he was derisively called "
Ibn al-Nasraniyya" on the account of his alleged maternal ties to Christians, and is said to have commented on Christianity's superiority to Islam, derided the
huffaz, and to have built a church for his mother near the mosque at Kufa. == Dismissal and death ==