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He grew up in the Zadgaon area of Dongri, a locality in Mumbai that belongs to the Konkan region. Dawood Ibrahim belongs to a modest Konkani Muslim family. Alishah added that Dawood did not get divorced, which he often claims. Reportedly, Dawood Ibrahim once dated Mandakini, an Indian former actor; however, Mandakini, who never disproved the fact of knowing Dawood, refused the claims of having a romantic relationship with him.

A picture of Dawood Ibrahim with Mandakini, while watching a cricket match in the Dubai Cricket Stadium, once went viral on the media and both came to the public eye as a couple.

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The viral picture of Dawood Ibrahim and Mandakini, watching a cricket match at a stadium in Dubai It is claimed that Dawood got attracted to Mehwish after watching her performance in a song and went on to contact her. Reportedly, Dawood helped her get big projects and expeditious success in the Pakistani film industry as he had good connections with Pakistani filmmakers.

Reportedly, Dawood, the son of a police constable, got involved in a bad company, practising theft, fraud, and robbery, at an early age after leaving his studies midway, and he never stopped. According to sources, after dropping off from school, Dawood Ibrahim formed a small gang of Dongri boys who were involved in smuggling and violence, creating trouble for the units of the then king of the underworld Haji Mastan.

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Reportedly, Dawood got a tip from an informer about a courier, carrying Rs 4,75, belonging to Haji Mastan being delivered from Masjid Bunder to his house in Malabar Hill, Bombay. Looking at it as a golden opportunity to take his revenge on Haji Mastan, Dawood Ibrahim, along with eight boys, choppers, country-made revolvers, and iron rods, went to accost the taxi in which it was being delivered; however, after obtaining the courier, Dawood realised that it belonged to a Metropolitan Bank.

According to sources, this robbery was the biggest bank robbery in Bombay. Although the case of robbery was filed against Dawood and eight members of his group, Dawood was offered a chance by the top officials in Crime Branch to help them capture the Pathan gang. Dawood, however, accepted the offer happily. Dawood Ibrahim left and Khalid Pehelwan right.