'Pasa Malar' is an emotionally charged tale that follows the triumphs and travails in the lives of the three central characters: Raju, Radha and Anandan.
Raju and Radha are orphaned at a very young age, but Raju loves his sister very much and brings her up with a great deal of love, care and responsibility.
As a grown-up, Raju begins working in the local mill and becomes fast friends with Anandan when he bails Raju out of trouble with the Mill's foreman. Anandan and Radha fall in love and their love affair continues to blossom without Raju's knowledge.
Anandan, a union leader, makes Raju join the union much against his wishes. The workers call a strike at the mill and this leads to Raju losing his job.
While Raju agonises over how to support the family, much to his shock and surprise Radha comes up with Rs. 1000 that she has saved from her own earnings. Raju is amazed and overcomes his initial anger at Radha for having worked without his knowledge.
Radha convinces Raju that they can earn more if they start their own business making dolls and toys for children. Raju and Radha make it big in the toy business, the local mill owner who is unable to run the mill offers the mill to Raju and asks him to buy him out.
Raju reluctantly agrees to take over the mill and becomes its owner. Raju receives education from a teacher and gradually becomes much more sophisticated.
Meanwhile, Anandan and Radha are married, but her in-laws are very greedy and wish to snatch Raju's wealth. They treat Radha badly, which culminates with Raju giving his entire wealth to them.
Finally, Raju gets bedridden due to illness and dies in abject poverty. Radha comes to see his dead-body during the funeral, breaks down into tears while she hugs him tight, and dies in the same position.
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