Fatty liver is a clinical condition which is very common now a days. It is the accumulation of the large vacuoles of triglyceride fat in the hepatocytes (liver cells). It is very common in the alcoholic peoples and termed as alcoholic fatty liver disease. Now a days it is also seen in non-alcoholic persons termed as non – alcoholic fatty liver disease. It is associated with the diseases like diabetes milletus, obesity, dyslipidaemia and also the diseases which influence the fat metabolism. The abdomen ultra sonograpy gives a clear picture of the liver. The inflammatory rate can be diagnosed through various blood tests like ESR, CRP etc. Specific diet, good exercise and weight loss can alone manage the problem without medication or with minimum medications.