Umbilical tumours or lesions are rare; therefore, it is of outmost importance to navigate every umbilical nodule or growth cautiously. Only 10 cases have been reported to date. The present case has been diagnosed as congenital EIC in the umbilicus, the first time this has been reported in the archives.A 5 year old female child with umbilical nodular swelling since birth presented to the surgery OPD.A clinical diagnosis of "umbilical adenoma" was made. An excisional biopsy with abdominoplasty was done under general anaesthesia, and the specimen was submitted for HPE. On gross examination, we received an umbilical stump measuring 1 x 1 x 0.4 cm. A raised, firm nodular swelling was noted on the umbilical knot along with keratin debris. On cut, it showed a well-circumscribed, tiny gray-white nodule measuring 0.5 x 0.4 cm. On microscopic examination, a diagnosis of “Umbilical Epidermal Inclusion Cyst”was given.: Umbilical EIC is a rare entity that may present as an umbilical nodule and is detected in every age group with a female preponderance. Underlying etiopathogenesis can be congenital, idiopathic, or post-iatrogenic. Over 80% of the umbilical EIC is located above the fascia. The histopathological examination is the only modality that leads to an exact diagnosis and is considered the “gold standard” for detection of commonest cyst occurring in the rare site.