Abdominal pseudocyst is a rare complication reported of VP shunt surgery. Here, we report a 10-monthsold boy with abdominal distension following cystoperitoneal (CP) shunt procedure for the fossa posterior arrachnoid cyst. The diagnosis was based on the clinical symptoms and abdominal USG. Infection and allergic reaction was considered as the underlying cause. The CP shunt was removed to atrioventricular shunt and it resulted in a good response. Abdominal pseudocyst should be considered whenever there is abdominal distension following VP/CP shunt.