Sebaceous carcinoma is uncommon and usually presents in the ocular adnexa as a cancer of the meibomian glands. They are frequently mistaken for chalazion. Considerable time often elapses before a diagnosis is made. We present a case of sebaceous carcinoma of the left eye lid in 59 year old female who had a history of 3 repeated surgical resections clinically diagnosed as chalazion during last 3 years.