Background: Adenosine deaminase (ADA) is suggested to be an important enzyme for modulating the bioactivity of insulin, but its clinical significance in Type 2 diabetes mellitus is not yet established. The present study was undertaken to evaluate serum ADA activity and serum uric acid levels in patients of Type 2 DM. It is widely reported that immunological imbalance is one of the key factors associated with the metabolic disturbances in type 2 diabetes mellitus. Aims: The present study aimed to evaluate the serum Adenosine Deaminase level and to correlate ADA levels with Blood Glucose and HbA1c levels in Type-2 Diabetes Mellitus patients. Material and Method: It is a case control study. The subjects included in this study were divided into 3 groups. Group I consisted of 50 normal healthy individuals who served as controls with no history of DM. Group II consisted of 50 patients of Type 2 Diabetes Mellitus both males & females in the age group of 40-65 years on oral hypoglycemic drugs with HbA1 c <7%. Group III consisted of 50 patients of Type 2 Diabetes Mellitus both males & females in the age group of 40-65 years on oral hypoglycemic drugs with HbA1 c >7 %. Serum levels of fasting blood sugar, HbA1 c , ADA and uric acid were estimated in all the subjects under study. Results: All the three parameters, FBS, HbA1 c , ADA and serum uric acid levels were found to be increased in the patients of Type 2 DM as compared to controls. The mean serum uric acid levels showed a bell shaped relation with glycemic control. Conclusion: From the present study, it is concluded that there is an increase in serum ADA levels with increase in HbA1 c levels. It was found that the serum uric acid levels increased with increasing levels of HbA1 c <7% and then decreased with further increasing levels of HbA1 c >7% (a bell-shaped relation).