Hindustan Colony, lying on the suburbs of the city, is a typical Indian city side colony, populated mainly with middle-class and lower-class people who are busy with their own day-to-day issues. The problem of drinking water had been a serious cause, which had been neglected by the ruling class for several years. Goplakrishnan (Jagadish), a resident of the colony is an educated youth, who works as a newspaper boy. Along with his bunch of friends Gopalakrishnan is active in all cultural activities. He is in love with Gowri, daughter of Poomukhath Kurup (Oduvil Unnikrishnan), a corrupted business contractor, who is also his uncle. It was the callousness of Kurup that led to the death of the father of Gopalakrishnan, which has made him a bitter enemy of Kurupp. In the mean time, politics is in turmoil in the state.
The chief minister (Janardhanan) is in all efforts to retain power, in spite of strong opposition from within his own party. Kunjikannan Nambiar (Narendra Prasad), a seasoned shroud politician is all set to take up the power by usurping the chief minister. The sudden death of Marukandam Madhavan, a minister, demands a re-election, which is crucial for the ministry to survive. Kunjikanan Nambiar takes out his political clout and demands the seat for one of his loyalists. The chief minister lets Nambiar the power to choose a candidate, but a fresher with some one with winnable factor. Nambiar, then decides to stand Gopalakrishnan, on request of the party workers from Hindustan Colony, who enjoys a strong influence among the people. Gopalakrishnan, who, with no political experience, thus with the support of his friends becomes a candidate and wins the election with stunning majority. But Nambiar doesn't ends his game with this. In the party meeting, Nambiar argues for a ministry and makes Gopalakrishnan the home minister of the state. Nambiar, a politician with lethal mindset and mysterious underworld connections wanted the home ministry in his hands to ensure easy flow of weapons through the state.
But shocking him, Gopalakrishnan starts performing in his own capacity, where by scattering the plans of Nambiar. Gopalakrishnan wins the heart of the chief minister, when he announces free policing system and cleansing the law and order. Mohammed Iqbal (Siddique), a young dynamic police officer is assigned the task of cleaning up the capital city, who arrests the goons of Nambiar, where by annoying him to the best. His order to release the goons has been denounced by the Minister, who also prevents the plans to ignite communal violence in the city. But Nambiar decides to start a revolt from Hindustan Colony itself. His plan to divide the people of Hindustan Colony on communal lines shows results, which creates minor scuffles in the peaceful colony. Subair (Suresh Gopi), the childhood friend of Gopalakrishnan, who is on leave from army tries to mediate and settle issues. Several temples and mosques are now raided by police on special order from home minister, where by several deadly weapons including guns and bombs are found by police. This issue rocks the state.
Nambiar masterminds a huge communal violence in the city, mainly at Hindustan Colony. In the riots, the goons of Nambiar set fire to several houses, and rape several women, including Subair's sister. Subair, in an attempt to save her, is killed. The next morning, during his visit to the colony, Gopalakrishnan faces severe protest from the people, including his dear ones, who accuse him of being a mass murderer. Gopalakrishnan resigns, but the chief minister does not approve his resignation. He asks Gopalakrishnan to show his power at this moment by exposing the real culprits in front of the society. Gopalakrishnan, along a mob, raids the stores and garages of Nambiar, seizing several explosives. The mob goes violent and attacks Nambiar and sets him on fire along with his criminal partners.
