Displacement and rehabilitation are a world-wide phenomenon. The developmental projects offer many benefits to the society in visible form on one hand but create number of problems regarding displaced people on the other hand. While construction of large dams most of the beneficial impacts are recognized but many adverse impacts remain unacknowledged. It has been observed that these impacts are neither assessed before the implementation of project nor looked after, the completion of project. Therefore, rehabilitated people face number of economic, social, cultural, psychological etc. problems. Here an attempt has been made to study the social problems of rehabilitated people affected by Dudhaganga Dam in Kolhapur district of Maharashtra.