The British officials, who regard Gangadhar as their puppet, discuss the ramifications of the attack on him. Gangadhar’s minister says that the king must beget an heir soon. Manu attacks the girl whom Nana is smitten by, thinking that she’s a British spy. But she proves her innocence. Moropant informs Manu about the conspiratorial natures of Lachchu Bai, Krishna Rao, Janki Bai, Ali Bahadur and Sakhu Bai, who comprise King Gangadhar's extended family.