At present the detection of many synthetic chemicals/compounds that may pose a genetic hazard is subject of great concern. For these safety assessment Genotoxicity tests play an important role on different endpoints. In this respect, the genotoxicity of newly synthesized compound N’-(7-Chloro-2-oxo-2,3-dihydro-1H-indol-3-yl)benzohydrazide, found to have anti inflammatory activity, was studied for its potential to cause genetic mutations and structural and numerical changes in chromosomes as these events have been implicated in carcinogenesis and heritable diseases. In the present study in-vitro chromosomal aberration and the micronucleus assay were used as these are good indicators for predicting carcinogenicity and mutagenicity. The synthesized compound did not show any chromosomal aberrations and micronuclei formation.