Complications following cerebrospinal fluid (CSF) diversion procedures are protean. The formation of pseudoaneurysms after the placement of a ventricular catheter as part of a CSF diversion procedure is presumably quite rare. The authors report the case of a child in whom a pericallosal artery pseudoaneurysm developed following the endoscopic insertion of a ventricular catheter as part of a ventriculoperitoneal shunt placement procedure. Significant intraventricular bleeding signaled vascular injury. Angiography revealed a right pericallosal artery pseudoaneurysm. The patient subsequently underwent surgical trapping of his pseudoaneurysm and physical therapy for left leg monoparesis. This appears to be the first reported case of pseudoaneurysm formation following the placement of a ventricular catheter for a CSF diversion procedure. This case underlines a rare but serious risk involved with the routine placement of CSF shunts.