Tabernaemontana divaricata (Fam- Apocynaceae) is traditionally used for various treatments and also in the cases of arteriosclerosis and circulatory irregularities. Hence the present investigation was designed to evaluate the potential effect of methanol extract of aerial parts of Tabernaemontana divaricata (METD) on obesity and hyperlipidiemia on Atherogenic diet induced obese rats. In this study, METD at the doses of 100mg/kg and 200mg/kg were administered along with Atherogenic diet for a period of 42 days. Parameters such as body weight, body temperature, serum lipid profiles, SGOT and SGPT were evaluated. METD at the dose of 200mg/kg significantly (p<0.001) corrected the altered parameters, similar to that of standard drug sibutramine (2mg/kg). From the observations of the study performed, it could be predicted that Tabernaemontana divaricata exerted significant anti-obese and anti-hyperlipidemic effects in rats fed on Atherogenic diet. Further investigation needs to figure out the therapeutic potential and exact mechanism of T.divaricata in the treatment of obesity.