Malaal is the story of Shiva (Meezaan Jaffery) and Astha (Sharmin Segal), two very different people from contrasting backgrounds who experience the innocence of love. Shiva is a local Tapori and slum boy whose wild ways have caught the eye of local small-time politician Sawant (Sameer Dharmadhikari). Shiva lives with his parents Vijaya (Chinmayee Surve) and Prabhakar (Anil Gawas). His father Prabhakar is totally not supportive of his violent ways and his tendency to create ruckus in the Chawl. Sawant wants Shiva to help him attack "outsiders" in Mumbai.Astha has recently moved to the Chawl with her family. It is implied that Astha's family was rich and is now suddenly without money. Astha is being pursued for marriage by Aditya (Ishwak Singh), who is the son of Astha's father's colleague. Swati (Radha Sagar) is Astha's friend in the Chawl. Astha's parents are Umashankar (Sanjay Gurbaxani) and Rajni (Sonal Jha). A Chawl boy named Babban (Chetan Chitnis) has a crush on Astha.When Shiva finds that Astha is not from Mumbai, he threatens her landlord to evict them. He then tangles with Astha on a range of issues including donations for Ganpathi festival (Shiva was demanding Rs 1001 from each home, but Astha says that her family only has Rs 501), her night tuition classes on the terrace (Shiva uses the terrace to drink with his buddies, while Astha accuses Shiva of drinking liquor from the money collected in donations) and even Aditya's visits to the Chawl in his Mercedes. Astha finds that Shiva may be a goon but has a brilliant mind and is excellent with mathematics.Astha is not intimidated and stands up to Shiva. Slowly, he falls in love with her & buys a locket for her. Shiva warns Babban to back off from Astha. But Astha rebukes him when he accidentally cops a feel and Astha thinks that he is being frisky without invitation. Shiva then sees Aditya cheating on Astha with another city girl. Soon the tension comes to a head between Aditya and Shiva. Shiva stops Aditya when he tries to forcefully kiss Astha. Aditya brings hired goons, whom Shiva dispatches brutally. Slowly Astha finds Shiva charming and sees that he is giving her complete freedom, and also starts falling in love with him. Shiva doesn't dictate what Astha should or should not do and supports her in her ambitions to study and get a good life for herself. He wont even touch her without her permission. Astha agrees to go on a date with him. He gives up smoking and drinking when she insists. Shiva cares about what Astha thinks of him.But Astha's parents object to her relationship with Shiva as he is nothing better than a goon. Astha asks Shiva to study and get good grades. But she ends up bailing him out instead when he is arrested for assaulting the exam officer who mistakenly accuses him of cheating during the exam. Astha tries to get Shiva a job, but an uneducated Shiva is only considered for odd jobs, which he refuses to accept. But Astha inspires him with stories of people who became something after starting with nothing. Shiva accepts an office boy job at a brokerage. Shiva starts the job and Astha helps him open a bank account.But Astha's parents get her forcefully engaged to Aditya. That night Shiva gets drunk and creates ruckus in the Chawl. Next morning Astha's parents and her move away from the Chawl. Shiva tracks her down, but Astha tells him that while she loves him, she loves her own family more. She has to accept their choice.The next day she tells her mother that she is going to meet Shiva. Her mom doesn't stop her. Astha has sex with Shiva and tells him that she will always love him, but has to marry Aditya for the sake of her family. On the way back, Astha dies in a freak road accident. Shiva becomes the owner of a large brokerage firm (Astha Wealth Management) in a few years and is frequently visited by Astha's memories.