Hari Kishan, a Telugu speaking young man comes to improve his life-style in Bombay, and gets to reside in the notorious slums of Kamathipura. Here he comes face to face with gangster who operate under full police protection, while the innocent pay a weekly fee as "hafta" to both the police and these gangsters - just to keep on living. Hari speaks to a political leader named Mudaliar, who in turn openly admonishes one of his henchmen, Abbas Ali. In turn Abbas decides to change sides, and moves to gangster Amar Bakia's side, and once there gets all the necessary support to kill Mudaliar. Mudaliar is shot dead in broad daylight. Hari witnesses this shooting, and avenges Mudaliar's death by killing Abbas. Now there is another gangster on the block - and his now known as Hari Dada. But Hari wants to be a gangster with a difference, and does not penalize the poor and the needy, and does away with the hafta system, thus incurring the wrath of Amar and the police. Hari is in love with a prostitute named Kiran, and would to marry her. When Amar offers Hari a partnership, Hari refuses, and Amar attempts to induce a member from Hari's gang to kill him, as he had arranged for Mudaliar. The person is has chosen is a very close friend of Hari. Will Hari meet the same fate as Mudaliar, or will he compromise with Amar and the police