New York – a city of affluences and grandeurs…an ideal place for the handsome, successful and very rich Shravan Dhariwal (Sanjay Dutt). A business tycoon, Shravan has everything one can dream of having and what he doesn’t have, he buys it. A winner all the way with an envious lifestyle makes him the most eligible bachelor around. He loves being in the company of beautiful and desirable women. His charm and money gets him any beauty he desires till he meets Varsha (Manisha Koirala).

Varsha is an Indian girl who values self-respect and morality much above the money and glamour of America. She is the first girl in Shravan’s life who says no to his advances. Shravan is not a guy who would take NO for an answer and starts showering Varsha with presents and gifts that she keeps refusing, which are then followed by costlier gifts. Unmoved by the money being showered on her, Varsha insults Shravan in front of a few thousand people which comes as a jolt to him.

For the first time in his life Shravan wakes up to the fact and is made to understand that like everything else, women are not commodities that he can buy by showering gifts on them. He realizes his mistake and apologizes to Varsha asking for her forgiveness. To make amends for his misdeeds, he goes to meet Varsha’s father and express his love and respect for her. He asks for Varsha’s hand in marriage. Varsha’s father convinces her that he is a changed man now and genuinely loves her. After much deliberation, Varsha agrees and they get engaged. They take off on a holiday and their romantic sojourn ends in lovemaking.

Varsha’s beautiful dream comes to a shocking end when Shravan tells her that his love for her was just a drama to get engaged so he could sleep with her – ‘Every woman has a price tag, some sleep for money and some fools like you for the promise of marriage’. Heart broken and shattered, Varsha’s whole world collapses around her. She leaves the country and goes as far away as possible from Shravan Dhariwal to start a new life.

Shravan is summoned to his hometown in India by Maasa (Reema Lagoo),as his younger brother Karan (Ajay Devgan) has decided to get married. Karan settled in Europe, is in complete contrast to his brother. They are like two sides of a coin, emotionally attached but poles apart. Intrigued as to who his brother is so smitten by, Shravan keeps pestering his brother to tell him more about the love of his life. Karan describes Payal as an angel, a goddess he is madly in love with. A girl with amazing charm and beauty like none other. It’s virtually impossible for him to stop praising her. As the marriage day arrives closer, Payal arrives from Europe. Shravan meet Payal. Payal is none other than Varsha.

Is this a plan by Varsha to teach Shravan a lesson? Or is this fate playing a leveler in Shravan’s life? Why did Varsha change her name? What happens when Karan comes to know what happened between Varsha and Shravan? Will Shravan stop Karan from getting married to Payal aka Varsha? Who will Varsha / Payal marry?

So many questions to be answered…this is the story of Afzal Khan’s Mehbooba.