An enthusiastic and talented novelist (Madhu) comes to stay in a desolate mansion named Bhargavi Nilayam. The novelist and his servant Cheriya Pareekkanni (Adoor Bhasi) experience the presence of a strange entity here. They come to know from the local people that it is a haunted house. The story is that it is haunted by the ghost of the daughter of the previous owner. The novelist and his servant encounter strange happenings here - the gramophone plays on its own, objects move around. The novelist finds some old letters written to Bhargavi (Vijaya Nirmala) by her lover Sasikumar (Prem Nazir). It is believed that the ghost of Bhargavi now haunts this house.
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