A new species of phytotelma-breeding dragonfly, Lyriothemis abrahami sp. nov., is described from the Western Ghats of Peninsular India. The new taxon was previously misidentified as L. flava Oguma, 1915 (= L. tricolor Ris, 1916). In contrast to L. flava, the new species is sexually dimorphic, with males easily identified based on the characteristic shape of the hamules. Females are identified by their jet-black and yellow colour with triangular yellow streaks on the dorsum of the abdomen and the distinct triangular shape of the vulvar lamina. Photographs of mature adults, tenerals, hamules, illustrations of vesica seminalis, vulvar lamina, and a key to Lyriothemis of the Indian subcontinent are provided.