Bajirao assembles his council to announce the new Guptachar. Baji declares that he has instituted a new chief Guptachar position in the state. The council members express their displeasure for not informing them about the new position. Then, Bajirao welcomes his new Guptachar, who is, in fact Mandakini, the same woman, who tried to murder Baji, a few days earlier.