Abbas Ali (Abhishek Bachchan) lives in Chandni Chowk with his sister Sania (Asin Thottumkal). When their ancestral property is taken from them by deception, Abbas loses his job. Their family friend, Shastri (Asrani), convinces them to move to his village, Ranakpur, where he assures Abbas that he will get him a job at his boss, Prithviraj Raghuvanshi's (Ajay Devgn), place. Pritvhiraj is a powerful but kind-hearted man who hates lies and liars, and punishes them harshly. Abbas and Sania arrive at Ranakpur and meet Abbas's friend Ravi (Krishna Abhishek), Shastri's son, who runs a drama company with his friends. Abbas learns that there is a temple at the border of Ranakpur and Kherwada, the village where Prithviraj's cousin Vikrant Raghuvanshi is powerful. The two cousins are arch enemies. The temple, being at the border of the two villages, was disputed and has been locked for years.

The plot begins when a child falls into the well of the temple and Abbas breaks the temple's lock to save the child. When Prithviraj arrives at the scene, Ravi says Abbas's name as Abhishek Bachchan to avoid religious controversies of a temple being broken open by a Muslim. Prithviraj hires Abhishek Bachchan (Abbas) and is happy with his work, but Ravi and his friends have to come up with a new plan when Prithviraj spots Abbas celebrating Eid as a Muslim. Abbas and the others convince Prithviraj that the one celebrating Eid was actually 'Abbas', an effeminate man and classical Kathak dancer. Things become worse for Abbas and Ravi when Prithviraj kindly hires Abbas for teaching Kathak to his sister Radhika (Prachi Desai). The more Abbas tries to manage his dual life without letting Prithviraj know, the more he has to lie to cover up other lies; this forms the crux of the story.