Finally Ram sees end of Gavaraju, joins both villages into 'Seetaramapuram' and temple is re-opened with Ram & Sundaralakshmi's marriage.Directed by Milan Luthria and produced by Ekta Kapoor, the film is a shrewd commentary on the double standards that still very much exist for women in the film industry. Meanwhile Bhusayya also owns the truth and he changes. Ram is son of Krishna Prasad and Arundathi that's why he played this entire game to join both villages as his mother's last wish. Gavaraju plans to kill Krishna Prasad and Arundathi in the attack Krishna Prasad dies saving Arundathi but people thinks both of them are died which splits the village into two and temple between the village is closed. After some time Arundhati gets pregnant, Krishna Prasad is willing to send his wife to America for higher education.
He is loves and marries Bhadrayya's daughter Arundathi (Suhasini) without their permission for that reason his father sends him out. Krishna Prasad (Krishna) son of Bhusayya treated as god by entire village because he doesn't have any disparity of rich and poor. Ram then comes in and starts a fight against both villages in which Bhusayya's wife Annapurnamma (Jayanthi) is injured, Ram saves her and tells her that he is her grandson, Gavaraju listens to that and kills Annapurnamma and proclaims that if any heir is their in village to give funeral to her, then Ram open up secret. Meanwhile Ram comes to know that Nagaraju secretly works for Gavaraju, they plan their next attack at their rival village. But Chandrayah doesn't agree, he keeps a challenge to Ram that he should cultivate the agriculture land of 100 acres. Chandrayah makes Sundaralakshmi engagement arrangements with Nagaraju where she admits that her love with Ram. Ram meets a village girl named Seshagiri (Ravali) and she falls in love with him, with help of her Ram tries Sundaralakshmi to fall in his love. But Ram stops them luckily and admits that he's the one who beat the guy up, so they stopped the fight. Ram beats up one of the goons from Ramapuram as they start another fight. But Chandrayah doesn't appreciate Ram's foreign behavior. Afterwards he goes with Sundaralakshmi to Seetapuram to spend his holidays and meets her family.
Ram (Akkineni Nagarjuna) is a college student from America who one day meets Sundaralakshmi in college, as she isn't used to city life Ram teaches her how to live like one. Bhadrayya wants to study his grand daughter Sundaralakshmi (Soundarya) in college but her father Chandrayah (Chandramohan) fixes her marriage with their Village President Nagaraju (Sri Hari), but with his father's pressure Chandrayah sends Sundaralakshmi to college.
Bhusayya is in trap of his son-in-law Gavaraju (Anand Raj) who always insists to take revenge against Bhadrayya's family. Seetapuram head Bhusayya (Nambiar) and Ramapuram head Bhadrayya (Kaikala Satyanarayana). Rivalry between two families splits a village 'Seetaramapuram' into Seetapuram and Ramapuram.