It is a story unfolding through generations in Wasseypur, Jharkhand(erstwhile Bihar). It starts with Sahid Khan( played brilliantly by Jaideep Ahlawat), who robs trains by the pseudonym of Sultana Daku which is in fact the pseudonym of another Dacoit that lives in the village. So, on one such attempt, the original Sultana Daku kills of Sahid Khan's gang and throws him out of Wasseypur. Thus starts the rivalry of the Khans and the Qureshis. Sahid Khan moves to Dhanbad where he leaves this life of robbery behind him and starts working in a field mine. During child birth, his wife dies while he was unable to reach her in time because he wasn't informed by the authorities. The son grows up over the years and India soon wins independence. With Independence, the British abandon the mines which are soon given to a Jamindar, Ramadhir Singh. He needs Pahalwans(bouncers) to run the mines and keep the workers in control, so he hires Sahid Khan. What Ramadhir Singh did not foresee was that Sahid Khan himself wanted the throne all for himself. When Ramadhir Singh finds out, he sends Sahid for a job at Banaras where Sahid Khan is assassinated. He also tries to kill Sahid's younger brother and son but they escape. The kid grows up to be Sardar Khan( Manoj Bajpayee) whose only aim in life is revenge against Ramadhir Singh,