The movie starts with Ganga Rayudu (Rao Gopal Rao), the village panchayat head, who judges a dispute between Musalaiah (Mikkilineni) and a rowdy, Gangaiah (Jagga Rao), that Musalaiah left the village under some unknown circumstances and returned after 15 years, he learns that his property (house & farm) was owned illegally by Gangaiah and he is not willing to give the property back to Musalaiah, hence they came to the Panchayat. Rayudu supports Gangaiah and does injustice to Musalaiah, having not enough power to face Rayudu, he again leaves the village.