The movie takes place against the background of the political relationship between India and Pakistan. The governments of the two countries have launched, “Project Milap”, where both the governments will release the POWs from the previous wars. Major Raghavan (Sunil Shetty), a rogue ex-para commando-turned-militant does not want the peaceful operation to turn to reality, and makes an attempt on Gen. Amarjeet Bakshi (Kabir Bedi)’s life. While trying to rescue Gen. Bakshi, Brigadier Shekhar Sharma (Naseeruddin Shah) falls prey to a stray bullet. On his deathbed, Shekhar confesses to his son, Major Ram Prasad Sharma (Shahrukh Khan), that Ram is his illegitimate child, and his wife and son had left him many years ago due to this infidelity. He tells Ram that his last wish is to see his family reunited under one roof, and dies. Gen. Bakshi tells Ram that his teenage daughter Sanjana’s (Amrita Rao) life is in danger, and asks him to go undercover and pose as a student in Sanjana’s class, to ensure her safety. Ram is reluctant at first but then learns that his younger brother Laxman “Lucky” (Zayed Khan) is studying at the same college. Ram agrees, and starts off on his dual mission: personal and national. At first, Ram is not able to fit into college life due to his age and military background. Ram meets Sanjana, who is Lucky’s friend and is secretly in love with him. Lucky is portrayed as a popular student who is not interested in studies and has been at the college for some time now, unable and unwilling to pass his final year. Sanjana is constantly irritated by Ram because of his attempts at friendship, and tells him to stay away from her. Lucky and another student, Vivek, then end up in a competition, which involves getting to the roof of the school. Lucky slips off the roof, but is caught just in time by Ram, and this causes the two to become friends. Soon thereafter, Ms. Sharma (Kirron Kher), Lucky’s mother, advertises for a paying guest in their house in order to make ends meet, and Ram takes this opportunity to live in their house. Ram finally starts assimilating to college life, building a good relationship amongst the other students and himself. He succeeds in wooing his lecturer, Ms. Chandini (Sushmita Sen), and Lucky and Sanjana engage in a romantic relaionship. At the same time, Major Raghavan arrives at the college, also posing undercover as a member of staff. Ms. Sharma finds out that Ram is actually Shekar’s son, and kicks him out of their house. Ram then explains why he entered their lives, revealing his fathers ashes and his last wish. This causes Mrs. Sharma to have a change of heart and realize her mistake of not reuniting with Brig. Sharma when he was alive. Major Raghavan kidnaps Sanjana and holds a large number of students and staff members hostage. In return for their safety, he wants Ram to call off the prisoner exchange program. Raghavan and Ram engage in a dangerous battle and Ram emerges as the victor. The film ends on a positive note, showing the success of Project Milap.