Several New Chloro-Hydroxy Derivatives of Phenothiazine Such As N10 -[Ɐ - (Benzlidene Hydrazino)Acetyl] 8-Chloro 3-Hydroxy Phenothiazine 2-Carboxyalic Acid and 2-Substituted Aryl, 3- N10 [(Acetyl Amino)1,3-Thiazolidin 4-Ones] 8-Chloro 3-Hydroxy Phenothiazine 2-Carboxyalic Acid Have Been Synthesized and Tested For Their Antimicrobial and Anti-Inflammatory Activities. Structure of the Synthesized Compounds Have Been Elucidated on the Basis of Their Elemental Analysis and Spectral Data. 8-Chloro 3-Hydroxy Phenothiazine 2-Carboxyalic Acid Produced a Significant Inhibition of Granuloma Growth In Carrageenan Filter Paper Granuloma Assay In Adrenal Ectomized Rats.