The story of Mugamoodi revolves around a young man named Siva (played by Vishnu Manchu), who works as a henchman for a local don. After a series of events, Siva decides to leave his life of crime and become a honest person. He falls in love with a college student named Priya (played by Nisha Agarwal). However, their love is put to the test when Priya's father, a police officer, tries to separate them. The rest of the movie follows Siva's journey as he tries to prove himself to Priya's father and win her hand.