Ente Veedu Appuvinteyum movie revolves around Viswanathan (Jayaram) Meera (Jyothirmayi) and little Vasudev (Kalidas) who are form a very happy family. Meera is not Vasu's real mother. She had married Viswanathan, who was a widower and the father of a little boy. And she had never tried to keep Vasu in the dark about these truths, and she had always loved Vasu as her own son. For Vasu, Meera was his mother and his best friend too. They live happily.
In the meantime Meera gives birth to a son, and it is Vasu who is the happiest. He names his little brother Appu and cares much for him. But then, gradually, Vasu begins to feel that Appu is getting more attention from his parents and that he himself is being neglected. That begins to create problems. And then Vasu does something horrible that gets him imprisoned in the juvenile home.