The film starts with the school's nun-teacher (Mehr Vakil) being frustrated at the ringing of the school bell, which indicates the end of school and the start of summer vacation. The story then turns to Sasha (Benaf Dadachandji), a motherless child who yearns of a mother's love despite having Mr. Deshpande (Rajkumar Santoshi), her doting father who works as a criminal lawyer. Her friend Thomas (Kavin Dave) has gone to London to undergo a surgery.
During vacation, while all the other kids are busy playing, Sasha sits silently, not eating. So, a servant fabricates a story that a miracle will happen in form of a halo. A street dog comes along, and Sasha believes it to be the God-sent halo. She adopts it and names it Halo. Sasha's life now revolves around the dog. She sleeps, drinks, and eats with him. Her father doesn't object, even though he doesn't like dogs. Her father, through a Satyavadi and following the principles of Gandhiji, observes a fast. One day, Halo goes missing, and Sasha searches inside and outside for him but to no avail.
She first asks the police commissioner (Mukesh Rishi) who uses her for his own plan to capture a gang of notorious smugglers led by Smuggler Raja (Tinu Anand). However, the credit for capturing the smugglers goes to Sasha. She also gets help from Ranga (Wasim Khan), a leader of a group of street urchins.
Eventually, she finds Halo under the care of an old couple (Dr. B. M. Banerji and Mrs. Banerji) with their physically disabled grandson Abdul (Yazad Mohedji).
At the end of the movie, Sasha happily gives the dog to Abdul.