The story is told by a reliable but not omniscient narrator who speaks as a Pakistani, and seems to be a Lahori. The narration is for the most part so straightforward that the narrator's voice seems even naive (or faux-naif, depending on how we want to read it). The narrator reports to us with apparent matter-of-factness a series of events that are not quite as straightforward as they appear. The time frame, for one thing, is oddly jagged. The first two paragraphs take us to the Wagah border itself, where the lunatics are described as having already arrived. Then we drop abruptly into a very long flashback: we return to an earlier time, when the inmates in the Lahore asylum first learn of the proposed exchange. We follow their reactions and behavior, until at the very end of the story we once again arrive at the time and place of the first two paragraphs.
A much greater oddity is that the whole story, as we're told in the first sentence, takes place "two or three years after Partition," so it seems highly implausible that not only the lunatics, but the people around them as well, can't figure out where Toba Tek Singh is; the district isn't even anywhere near the border, so after "two or three years" there could hardly be any confusion. But it's a tribute to Manto's narrative skill that on the first reading, this question doesn't even occur-- and perhaps not on the second or third reading, either.
We don't meet the main character until well into the story, when we've gone through an illustrative sequence of other lunatics. The narrator reports that everyone calls the main character "Toba Tek Singh" (though in the whole course of the story we