BHOOL BHULAIYAA 3 is the story of a haunted palace. Ruhaan aka Rooh Baba (Kartik Aaryan) and Tillu (Arun Kushwah) live in Kolkata and con people by pretending to be ghostbusters. One day, they are caught red-handed by Meera (Triptii Dimri) and her uncle (Rajesh Sharma). They even record a… video clip that exposes him. However, they allow him to go scot-free if he is ready to accompany them to their ancestral palace in Rakhtghat. Ruhaan reluctantly agrees. Once he reaches there, he meets Meera’s father Raja saab (Vijay Raaz) and the rest of the family, who are living in abject poverty in a stable. This is because the palace is haunted by the evil spirit of Manjulika. The priest of the family (Manish Wadhwa) informs Ruhaan that he’s the one who can free the palace of this evil spirit as he looks ditto like Raja Dibrendranath, who was killed by Manjulika in 1824. Ruhaan is not interested but he has no choice. But he starts enjoying his time in Rakhtghat after he’s hailed for being a lookalike of the prince. He and Meera also fall for each other. Sadly, his happiness is short-lived. Manjulika’s spirit gets free. On the other hand, two mysterious women – Mallika (Vidya Balan) and Mandira (Madhuri Dixit) – arrive at Rakhtghat and add to the madness. What happens next forms the rest of the film.