Abstract: The present invention relates to novel heterocyclic diphenyl ether and diphenyl amine compounds, derivatives, analogs, tautomeric forms, stereoisomers, polymorphs, hydrates, solvates, pharmaceutically acceptable salts and pharmaceutically acceptable solvates thereof and pharmaceutically acceptable compositions containing these singly or in combination. The compounds of the present invention are effective in lowering blood glucose, serum insulin, free fatty acids, cholesterol and triglyceride levels and are useful in the treatment and/or prophylaxis of diabetes. The compounds of the present invention are effective in treatment of obesity, inflammation, autoimmune diseases such as multiple sclerosis and rheumatoid arthritis and immunological diseases, including the treatment of cancer. Furthermore, the compounds are useful for the treatment of disorders associated with insulin resistance.