Maybe, I'm not sure about the dates (I don't actually remember when I stopped playing, but it was definitely before 2004/2005, Whenever Graal went pay to play.) Graal the Adventure was what the client itself referred to the whole game as though, long before that.
I do remember the classes you're talking about, but that was definitely not a main part of the server. That came around before there even were other servers, but there was a place you could go on the south-east end of the map, select a class and play on what seemed like a different server, fresh stats/look, a more traditional rpg hp system and (working) magic system. It was all handled by scripting though and only artificially kept apart from the main world.
Eventually it did become a separate playerworld from the rest of Graal along with Graal 2K1 and others. I remember when it became it's own playerword it was Valikoria, but when it was still connected to the main server it was just Karlia or something along those lines. It was not Graal the Adventure any more than what we today know as classic though.
This was all pretty seperate from what was happening with the rest of Graal classic. I do remember the heavy additions by Thyme. I can't say if this was before or after. I think it was in the big quest area called Destiny though, if you can put a time to that.
I think you might be thinking of the later revisions that were done when the new npc-server was put in place. I'm pretty sure Thyme was responsible for this but it's seperate from the earlier quests he added to give a unified plot to Graal. He definitely had nothing to do with Karlia, that was way back (2000, 2001 at the latest.)