After a keenly fought election, MKR becomes the new chief minister. When the opponents hire a psychotic killer to assassinate him, Perumal, a crime branch officer, is assigned to stop him.

The film is a sequel to the 1988 film August 1, which was directed by Sibi Malayil, and written by S. N. Swamy. Following from August 1, Mammootty plays the character of the Crime Branch officer Perumal who investigates into an attempt of assassination on the chief minister of Kerala on the 15th of August, the Independence Day of India.