Maharani Chandrabhaga Raje (Nadira) is an old-fashioned survivor of an extinct empire, Rajwada, set in a remote locale, who cannot reconcile with the fact that she is no longer in power. Her palace "Parbat Mahal' has been converted into a hotel, which is run by her grand-daughters Krishna (Shabana Azmi), Gangavati (Poonam Dhillon) and Kaveri (Pallavi Joshi). The hotel does not have any business but Prince Kuldeep the only grandson in order to satisfy his monetary greed, conspires to rob a bank with the help of its chairman, Mahendranath (Satyen Kappu). Kuldeep hires a bright young man Dinesh (Kanwaljeet) to commit the heist.
After committing the robbery, Dinesh, along with his three accomplices arrives at 'Parbat Mahal' in order to hide from the prying eyes of the police. Krishna is suspicious about Dinesh, who masquerades as a ruler of Mohangarh to conceal his real identity.
Suddenly, hotel 'Parbat Mahal' is buzzing with hectic business, thanks to the manipulation of a young mechanic Prakash (Mithun Chakraborty), who is in love with Gangavati. Prakash wants to marry Gangavati, but the Maharani comes as a stumbling block, who keeps on ranting about her past glory. Prakash is heart broken, but swears to tame the stubborn Maharani. But in the process, some hitherto hidden secretes of his past come to the fore. What were they? Does Prakash succeed in bringing the Maharani down to earth? What is the real identity of Mahendranath? Does Prince Kuldeep get away with his evil deeds? Why is Krishna suspicious about Dinesh's identity?
The answers to all these questions are unravlled in 'Jhoothi Saan'.
[From the official press booklet]