Carey, who played 244 games and kicked 671 goals for North between 1989 and 2001 and is widely regarded as its best-ever player, left the club after an off-field scandal involving a teammate's wife and shifted to Adelaide for two largely undistinguished years with the Crows.
Initially ostracised by the Kangaroos, relations between Carey and the club have mellowed, and his induction to the Hall of Fame signals an end to the long rift.
Carey was named as captain of North's Team of the Century, captained two premiership sides, won four best-and-fairest awards, and topped the club's goalkicking five times.
Six other North Melbourne figures – former coach Denis Pagan, former captain and coach from the 1920s and 1930s John Lewis, skilful wingman Laurie Dwyer, former players and officials Albert Mantello and Barry Cheatley, and long-serving club secretary and later president Jack Adams – were also named to the Hall of Fame.
Two existing inductees, dual Brownlow medallist Keith Greig and champion full-back David Dench, were elevated to legend status.