Abstract: Material previously identified as Panulirus longipes femoristriga (von Martens, 1872) is found to have two forms of coloration, namely the banded whisker form and the white whisker form. Careful comparisons of fresh lobsters reveal that the two forms differ in morphological characters. Data from allozyme analysis also shows that they are genetically distinct. To stabilize the confused taxonomy of these species, a neotype for P. longipes femoristriga is selected from a specimen of the banded whisker form from the type-locality Amboina. The white whisker form is shown to be a new species.