In the present investigation Bacillus sp. were isolated from subterranean termites gut. Bacillus sp. was identified based on the morphological and molecular characterization. 16SrRNA of Bacillus sp. sequenced and submitted to Gen Bank. Antibacterial activity of Bacillus sp. was screened. It inhibits the growth of S.typhi, E.coli and S.aureus. The bioactive compounds were analyzed by UV-Visible spectroscopy and thin layer chromatography. The highest peak was observed between 240 to 280 nm. In the cytotoxic assay 27.307% cell death was observed in 20μl concentration of the sample and 9.790% cell death was observed in 5μl concentration of the sample. In the GC-MS analysis totally 8 compounds were recorded. These compounds may be responsible for the anticancer activity.