He was 88 years old when he died.
Since July 19, Padannayil has been receiving treatment at the Indira Gandhi Cooperative Hospital in New Delhi.
He was later transferred to the Cardiac Care Unit, where he died at 6.40 a.m. today, according to a hospital official.
Padannayil began his playing career as a theatrical artist decades ago and began appearing in Malayalam films in the 1990s.
His first film, directed by Rajasenan, was "Aniyan Bava Chettan Bava."
Following his performances in films like as "Sreekrishnapurathe Nakshatrathilakkam" and "Vrudhanmare Sookshikkuka," Padannayil found work as a supporting actor in Malayalam films.
Padannayil has appeared in over 60 films over his nearly two-decade cinematic career.
He was born in Tripunithura and has appeared in a number of films.
Padannayil's death was mourned by Kerala Chief Minister Pinarayi Vijayan and Education Minister V Sivankutty.