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The common sites of occurrence of giant cell tumour of bone are the lower end of femur and the upper end of tibia. The small bones of the hands and feet are rarely affected. Johnson and Dahlin (1959) in a series of 166 cases and Rockwell and Small (1961) in a study of 33 cases of osteoclastoma did not have a single case of phalangeal lesion. We are reporting a case of gaint cell tumour of the proximal phalanx of the thumb because of its rarity.