In the movie "Kagaz Ke Phool’s” protagonist Suresh's (Guru Dutt) first losses his wife, and the film is largely narrated in a flashback. We are shown that film director Suresh's wife (Veena) is estranged, and has taken his beloved daughter (Baby Naaz) with her.
Suresh's brother-in-law Jimmy (Johnny Walker) is sympathetic towards him. Expectedly, the film is at its best when dealing with Dutt's relationship with Waheeda.
The gradual falling in love between the debutante and the older married director is softly muted. She hero-worships him and nurses him when he falls ill, while he initially tries to fight the strong undertow of attraction. But when Suresh's daughter pleads with Shanti to give up her father so that she can reunite her parents, Shanti quietly accedes to her wishes and even retires from acting. Suresh understands Shanti's sacrifice, but finds it difficult to withstand the pain of one more separation.
He is fated to meet Shanti once again when the still-in-love-with-him actress pleads with him to direct her comeback film. But Suresh stubbornly refuses to accept what he sees as a favour. The once-felicitated director works instead in a bit role for a pittance and faces insults in the studio. Finally, he creeps back to an empty set, sits on the director's chair, and quietly passes away.
Barely registering his death, the filmmakers clear the set in an ironic assertion of the glamour world the show must go on.