Shiva Kapoor (Jeetendra) is an assertive and honest young man and has the tendency to help people in need, which gets him to come to the rescue of a man who was being assaulted by hired goons. Frustrated by Shiva, the goons report this incident to their bosses, Iqbal Supariwala (Puneet Issar) & Nandu Solanki (Mohan Joshi), together they implicate Shiva in a web of lies and deceit and have him arrested and imprisoned. After serving his sentence, Shiva vows to avenge this humiliation, and assumes the guise of a bearded male and calls himself Karma. He gets to meet Dharma (Dharmendra), another young man, who has been the target of Supariwala and Solanki, and together they join forces to combat the gangsters. Unrelated to this saga of vengeance is the story of Dharma's brother, who is in love with the same woman as Kumar (Rahul Roy) is, and a heartbroken Kumar has sworn to kill Dharma's brother and anyone else who dares to stand in his way.
