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Achanurangaatha Veedu (2006) told the story of a father's suffering as his under-aged daughter Lisamma is kidnapped and is forced into a sex racket. In Lisammayude Veedu, the young girl Lisamma (Meera Jasmine) has grown up and seems to have adjusted to her past. She runs a telephone booth and looks after her two sisters and her father who has lost his mental balance after seeing his daughter suffer.

After getting involved in an accident with a rich merchant, Devanarayanan, John receives a blank cheque from him. John, who is in big debt witdraws a huge sum using the check, and trouble follows him.

Prasannan, a recently released mental asylum inmate, claims to be an avatar of God and assumes the identity of Poornananda Swami.