Monascus purpureus, a potent red pigment producing fungus was optimized for its growth and pigment yield by varying the physical and nutritional parameters in submerged culture. The maximum yield was recorded when the production medium, having pH 6.0, was supplemented with 20g/L glucose and 0.3% MSG, fermented at 30 C in complete darkness. The pigment complex was extracted with solvent 0 system and purified by column chromatography and TLC to obtain the red pigment fraction, monascorubramine. Its spectrophotometric characterization showed λmax at 500 nm. IR analysis was also done. Antibacterial activity of the purified pigment was tested and found active only against gram positive bacteria. Data were statistically analyzed and found significant.