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Lipomas are commonest benign mesenchymal neoplasms. Angiolipoma is a rare variant of usual lipomas characterized by adipocytes and vascular channels most frequently arising in the lower extremity. We report a rare case of a young male presenting with multiple deep painful nodules over the mid forearm which on histopathological examination revealed encapsulated benign tumour comprising of proliferating small-calibre vascular channels with microthrombi and mature adipose tissue.