- A ghost returns back from his world to prove something. But on earth, he has something more to do for his country.
- Bhoothnath Returns takes Bhoothnath's story forward. As he returns to 'Bhoot World' he is greeted with taunts and condemnation from other ghosts for bringing disrepute to the ghost-community for getting bullied by a kid on Earth. Post the humiliation, Bhoothnath decides to redeem himself and come back to scare a bunch of kids. Bhoothnath's search for kids brings him to Akhrot, a slum kid who is also the only person who can see him. Together they agree to help each other and their friendship sees them get involved in a cause that is bigger than they had ever imagined. To move ahead they will need to take on one of the country's most powerful and corrupt politician Bhau. The Lok Sabha elections are nearing and Bhau's victory is a mere formality, or is it? In a world, where a common man is afraid of politics, will a common man's ghost overcome his fear to stand up for what's right and fight against injustice? Bhoothnath Returns is an entertaining tale of good against evil, weak against powerful, past against future.—Anonymous
- The plot is linked with the previous film Bhoothnath. When Bhoothnath, although his real name in the two films is Kailash Nath, (Amitabh Bachchan) enters the Bhoothworld, (a ghosts' world) he is mocked and questioned about his abilities as a ghost as he was unsuccessful to scare any child. To redeem himself, he returns to Earth where he tries his best to scare children but is unsuccessful with his attempts.
However, a boy named Akhrot (Parth Bhalerao) can see him in his true form. Akhrot is not scared of Bhoothnath, but helps him to scare a few children. In return, he asks Bhoothnath to act scared of him and to run away from a haunted house while he chants mantras in front of his friends, so that his friends can accept him in their cricket team. Bhoothnath decides to help him further by helping him earn money by giving ghosts living in under-construction high rises peace by fulfilling the wishes they were still staying back on Earth as ghosts for.
In the process, they come to know why the ghosts died (one of them died in a building accident at the site itself), and help their families get insurance money by scaring corrupt insurance officers. In the process, he gets to know about Bhau (Boman Irani), a former criminal who is now a corrupt politician. Bhau is constructing a building on disputed land by killing innocent folks who refused to transfer the land to him. All those folks are now ghosts, residing in the building. Bhau hires Akhrot to get rid of them. But when Akhrot & Bhootnath meet the ghosts, the realize the amount of corruption in India. encouraged by Akhrot, Bhoothnath decides to contest the upcoming elections.
Bhootnath approaches a friendly lawyer who helps him file the nomination papers, with the support of the living relatives of all ghosts he had helped till date. At first, Bhoothnath's nomination becomes a national joke, & no one takes him seriously. But, then he goes on national TV in a televised interview & puts forward his views on eradicating poverty & working for the benefit of living human beings.
Bhootnath hires Anurag Kashyap to write an election song to excite the masses & proves to be popular. He then scares all municipal commissioners to start doing their job of providing public services they are paid for. Soon, the rivalry between Bhoothnath and Bhau heats up. Bhau says on public TV that he cannot contest against a super natural power with unlimited powers. So Bhoothnath sacrifices his powers to win. One day before the elections, a Parivartan rally is to be held by Bhoothnath to encourage a high turnout on election day. Bhau's men threaten to kill Akhrot unless he prevents the rally from happening, but Akhrot refuses and is ready to face the consequences. On the day of the rally, Bhau's men injure Akhrot grievously for his non-compliance, which makes Bhoothnath leave his rally to be with Akhrot in the hospital.
He goes to the Bhoothworld and begs for Akhrot's life. They tell him that if Bhoothnath wins the election, they will spare Akhrot's life. Meanwhile, Bhau uses Bhoothnath's absence at the rally to his advantage and tries to influence the audience to vote for him. However, on election day, the majority of the public voted for Bhoothnath. The next day, Bhootnath sees Akhrot's heartbeat rising and realizes that he won the election. The film ends with Akhrot regaining consciousness and everybody celebrating the success of Bhoothnath.
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