Cerebral Medulloepithelioma is an extremely uncommon tumor of childhood and so far 39 cases were reported in literature. We report a new case of cerebral intraventricular medulloepithelioma in an 11 year old female child which showed divergent line differentiation. We analyzed the histopathological and immunohistochemical features and differential diagnosis of this rare tumor. The prognosis and management issues in view of the available literature were discussed by the author.