Lankeswari is a dubbed version of malayalam movie 'Yakshiyum Njanum' in which, Meghna is the ghost who has to take her vengeance upon Home Minister Spadikam George for killing herself, her lover Ananthu and her father (Captain Raju).
She meets Gowtham who is hired by the minister and his son for killing his daughter’s love interest. Gowtham hides in an old Bunglow where he meets the fairy. They fall in love.
Thilakan is a famous astrologer and magician orders Spadikam George to evacuate Gowtham from the Bunglow. Thilakan with the help of Maala Aravindan tries to tie-up the evil spirit.