The biggest sporting event for the school town of Nainital is the annual cycling race. Schools and colleges here range from those like Rajput and Xavier's for the spoilt rich kids to local ones like Model for the poorer kids. For the past two years the cycling race has been won by the arrogant Shekhar Malhotra (Deepak Tijori) of Rajput College. Sanju (Aamir Khan) and Ratan (Mamik) are bothers who attend Model and run a small local cafe. Their father (Kulbhushan Kharbanda) is obsessed by the desire to see Ratan become the cycling champion. Ratan on his part is the ideal son and elder brother to Sanju, good in everything he does and has been the runner-up to Shekhar in the cycling race. Sunju on the other hand is a prankster, not taking life seriously at all enjoying life with his friends among whom is Anjali (Ayesha Jhulka) who loves him silently. Sanju however turns his attention on the new girl on the block, Devika (Pooja Bedi) and convinces her he is rich. He uses the money his father has asked him to deposit in the bank to buy a costly necklace for Devika instead. When his father finds out, he chucks Sanju out of the house. At the annual college dance competition when Devika finds out that Sanju is from Model and poor, she dumps him turning her attention to Shekhar. All through Anjali is a silent pillar of support for Sanju. Shekhar and his friends injure Ratan, almost killing him to keep him out of the race. It is at this point that Sanju realizes he has to get serious and responsible in life and he enters the cycle race to do what a man must do...

Sporting rivalry has always existed between the three main schools, namely the one for the rich and wealthy, Rajput; St. Xavier's (boys); St. Anne's (girls); and for the not-so-wealthy, Model School. Ratanlal Verma (Mamik), from Model School, is the prime candidate for the cycling championship, with his main rival being Shekhar Malhotra (Deepak Tijori) from Rajput. As the day for the competition draws to a close, the rivalry gets intense and personal. With Ratanlal's easy-going brother, Sanjaylal (Aamir Khan), getting involved with one of rich girls, Devika (Pooja Bedi), he lies to her that he is a student at St. Xavier's, much to the chargin of Shekhar. Sanjaylal gets exposed and dumped by Devika and is thrown out of the house by his father, Ramlal Verma (Kulbhushan Kharbanda), for stealing money. Then Ratanlal is in an accident that may leave him incapable of participating in the competition. It looks like Shekhar is all set to win the race without much competition from anyone from St. Xavier's College and Model School.

Sanjay Lal and Ratan Lal are poor local kids in the beautiful scenic college town of Dehradun। They are always dreaming about being rich and famous. However, while Ratan is willing to work for it, Sanjay wants everything to be given to him. When Ratan loses a crucial race to a rich kid from the snobbish Rajput School, Ratan's father vows to win back the race for the town's poor folks. The movie deals with the trials and tribulation of two men's dreams and of Sanjay's desire to date a rich girl--he gets this opportunity when Devika (Pooja Bedi) comes to town and joins the rich girls' college. Bluffing his way through, he wins Devika's heart as Anjali watches her heart and soul break away. However, when Devika finds out who Sanjay really is, she dumps him and goes back to Deepak Tijori (the rich kid). Before the crucial race, Deepak Tijori and friends almost kill Ratan, who is now unable to compete in the race. Sanjay takes over and with the moral support of his father and his brother, he tries to win the race and Anjali back.