The film follows the mythological character Ghatotkacha, who is mortally wounded in the Kurukshetra War. As he lies dying, he is aided by a young tribal girl who offers him water. In gratitude, Ghatotkacha promises to repay her kindness when she is in need.
Centuries later, the girl is reborn as Chitti, the only heir to a wealthy family of NRIs. Chitti's parents, Koteswara Rao and Sudha, are targeted by two relatives, Chalapathi and his son, who plot to murder them and inherit their wealth. Basanna, a mute servant in the family, saves Chitti from several assassination attempts. However, Chalapathi and his cronies eventually succeed in throwing Basanna out of the house and attempt to kill Chitti's family. They plant a bomb in the family's car, killing her parents but sparing Chitti. Basanna sacrifices his life to save her, and Chitti is later rescued by Basanna's son, Ranga. Ranga, along with Chitti, flees and eventually takes refuge in a forest. As they are cornered by the assassins, Chitti calls for help, and Ghatotkacha, remembering his promise, appears to save her.
In a separate storyline, a robot named Subba Rao saves Roja from a bald-headed criminal (AVS), who attempts to murder her. Subba Rao falls in love with Roja and frequently visits Ghatotkacha, Chitti, and Roja, often clashing with Ranga.
Chalapathi, Thota Ramudu, and their associates continue their attempts to kill Chitti. They succeed in killing her before Ghatotkacha, enraged, destroys Subba Rao’s 10,000-watt power. Ghatotkacha pleads to Lord Anjaneya to restore Chitti's life. In response, Ghatotkacha becomes a supergiant and uses his powers to reverse time, saving Chitti before her death and thwarting the villains.
Ghatotkacha reprograms Subba Rao to defeat the villains. Subba Rao kills Chalapathi by redirecting a laser beam, while Ghatotkacha plays tennis with the wizard's head. Ghatotkacha also defeats the bald-headed criminal and the scientist who created Subba Rao. As punishment for betraying Ghatotkacha, Thota Ramudu is forced to remain on a scrap collector's TV.
In the climax, Chalapathi's son and the wizard's henchmen are involved in a chaotic accident, where a ball controlled by a watch multiplies into hundreds of balls. After Subba Rao completes his task, Ghatotkacha reduces his power from 10,000 watts to a manageable 220 watts.
After the success of the fantasy film Yamaleela (1994), which featured comedian Ali in the lead role and Satyanarayana as Yama, director S. V. Krishna Reddy ventured into another fantasy film. For this project, he chose the character of Ghatotkacha from the Mahabharata. Krishna Reddy teamed up once again with producer K. Atchi Reddy, as well as with Satyanarayana and Ali. Satyanarayana was cast as Ghatotkacha, while Ali played one of the lead roles.[2][3]