Nyayavidhi movie revolves around Paramu (Mammootty) and Johnie (Lalu Alex) who are friends who manage to frame Unnithan (Azeez) who is a local businessman, for a murder committed by Johnie. With a friendly policeman's help, Johnie manages to appropriate a large chunk of Unnithan's unaccounted wealth and becomes a successful businessman himself. Paramu, meanwhile, continues to work as the henchman for another businessman McPherson (Sukumaran) who asks him to hide Rs. 1 crore (10 million) of unaccounted money for a period of two months. Paramu entrusts the money to Johnie, but the two fall out because of Unnithan's daughter for whom Paramu has a soft corner but who is now a prostitute because of Johnie's machinations. Johnie convinces McPherson that Paramu has eloped with the money, and the two join hands to eliminate Paramu and retrieve the money.