Diffuse neonatal hemangiomatosis (DNH) is characterized by multiple capillary or cavernous hemangiomas on the skin and internal organs occurring during the neo natal period. It is a lifethreatening condition due to highoutput heart failure with a mortality rate of 6085% without proper treatment. The areas that are most commonly involved include the skin (100%), liver (64100%), and central nervous system (52%). Corticosteroids are the drugs of choice as an initial treatment and have a response rate of 3060%. We present here a case of a newborn baby with multiple hemangiomas on her skin (scalp, lips, neck, back, shoulder, arm, buttock, and leg), brain (right cere bellum, pons, and medulla oblongata), lungs, liver, kidney, and bones. She suffered from 6, 7, 9, 10, and 12 cranial nerve palsy resulting from hemorrhage of the hemangiomas in the brain. The firstline treatment of prednisolone (4 mg/kg/day) was not effective and propranolol (2 mg/kg/day) was administered as a secondline treatment. After 2 weeks of treatment, the hemangio mas had decreased in size with no associated acute hemorrhage. The infant is now 10 months old and both the multiple hemangiomas and cranial nerve palsy have improved. Propranolol was effective without significant adverse effects in treating DNH resistant to corticoste roids.