AbstractPhaeohyphomycosis is a mycotic disease caused by dematiaceous fungi. It causes both subcutaneous and systemic infection. The disease is more of ahistopathological than a clinical entity. We present a case of phaeohyphomycosisin a 45-year-old female who presented with the complaint of swelling in the right finger for2 months duration. A provisional clinical diagnosis of ganglion or dermoid cyst was entertained. Histopathology revealed granulomas with numerous multinucleated giant cells and fungal hyphaewithin and in between the giant cells. Gomorimethanamine silver stain (GMS) was used toconfirm the presence of hyphae. Based on the clinical, and histopathologicalfeatures, a diagnosis of Phaeohyphomycosis was given.