Sheshu is a romantic love story in which, Sheshu (Raja Sekhar) has a staple diet of yes-sir friends surrounding him. He comes across a timid girl (Rekha), who is the daughter of a poor temple priest, and starts to woo her. A wonderfully constructed sequence of events leads him to rescue her elder sister after she accidentally enters a brothel.
When the girl falls in love with him, Sethu becomes a victim of brothel-goons and ends up in a mental institution with brain damage. With Sheshu with no memory of his past an his unusual behaviour he starts to recollect memories. At one point he is completely back to his normal self and in an attempt to escape, he climbs over the gates. Unfortuntely he fails and ends up with serious injuries.
Whilst sleeping with his injury Rekha makes a surprise visit. However Sheshu is asleep and she leaves with this woeful memory of him. As she is about to leave the institution he wakes up and realises that she had come to see him. As he calls out, she leaves unable to hear him.
Persistent to meet her he makes another attempt to leave the institution and this time he is successful. When he arrives at her house he is presented with his love unfortuately dead. He realises that she had killed herself.
Distraught after what he saw, he just walks out and at that point he is met with the mental insitituion wardens who came chasing after him. The ending shows him leaving with them as he has nothing to live for after his true love's death.