[1] Once upon a time, in a kingdom there lived a naughty guy called Chadraiah, his father gets annoyed with his deeds and exiled him from their house.

Chadraiah leaves the village, on the way he meets a soldier who narrates to him a false story regarding a magical woman Vayyari Bhama who lives on an island that comes after crossing seven seas and she possesses a diamond through which a man can achieve anything in the universe.

The King has immense belief in these miracles and he promises Chandraiah that if his word comes true he is ready to give half of his kingdom along with his daughter Sudha.

Even his chief minister objects to him that he is not ready to listen with the help of Jambalaya the king reaches an island where they meet an old sorceress Dhimdhim.

She takes advantage of the king's innocence, converts her daughter Tara into Vayyari Bhama, and shows a fake diamond.