diff --git a/idea/src/org/jetbrains/jet/lang/parsing/JetParsing.java b/idea/src/org/jetbrains/jet/lang/parsing/JetParsing.java
index d6ec63276ca..8229c3f7b1d 100644
--- a/idea/src/org/jetbrains/jet/lang/parsing/JetParsing.java
+++ b/idea/src/org/jetbrains/jet/lang/parsing/JetParsing.java
@@ -735,7 +735,11 @@ public class JetParsing extends AbstractJetParsing {
         if (at(EQ)) {
             advance(); // EQ
             myExpressionParsing.parseExpression();
-            consumeIf(SEMICOLON);
+            if (!local) {
+                consumeIf(SEMICOLON);
+            } else {
+                // "val a = 1; b" must not be an infix call of b on "val ...;"
+            }
         }
         if (!local) {
             if (parsePropertyGetterOrSetter()) {
diff --git a/idea/testData/psi/IfWithPropery.jet b/idea/testData/psi/IfWithPropery.jet
new file mode 100644
index 00000000000..d28dec26581
--- /dev/null
+++ b/idea/testData/psi/IfWithPropery.jet
@@ -0,0 +1,5 @@
+val a = if(1) {var f = a;a} else {null}
+val a = if(1) {
+  var f = a;
+  a
+} else {null}
diff --git a/idea/testData/psi/IfWithPropery.txt b/idea/testData/psi/IfWithPropery.txt
new file mode 100644
index 00000000000..d5b18b7ce0c
--- /dev/null
+++ b/idea/testData/psi/IfWithPropery.txt
@@ -0,0 +1,90 @@
+JetFile: IfWithPropery.jet
+  NAMESPACE
+    PROPERTY
+      PsiElement(val)('val')
+      PsiWhiteSpace(' ')
+      PsiElement(IDENTIFIER)('a')
+      PsiWhiteSpace(' ')
+      PsiElement(EQ)('=')
+      PsiWhiteSpace(' ')
+      IF
+        PsiElement(if)('if')
+        PsiElement(LPAR)('(')
+        CONDITION
+          INTEGER_CONSTANT
+            PsiElement(INTEGER_LITERAL)('1')
+        PsiElement(RPAR)(')')
+        PsiWhiteSpace(' ')
+        THEN
+          FUNCTION_LITERAL
+            PsiElement(LBRACE)('{')
+            BODY
+              PROPERTY
+                PsiElement(var)('var')
+                PsiWhiteSpace(' ')
+                PsiElement(IDENTIFIER)('f')
+                PsiWhiteSpace(' ')
+                PsiElement(EQ)('=')
+                PsiWhiteSpace(' ')
+                REFERENCE_EXPRESSION
+                  PsiElement(IDENTIFIER)('a')
+              PsiElement(SEMICOLON)(';')
+              REFERENCE_EXPRESSION
+                PsiElement(IDENTIFIER)('a')
+            PsiElement(RBRACE)('}')
+        PsiWhiteSpace(' ')
+        PsiElement(else)('else')
+        PsiWhiteSpace(' ')
+        ELSE
+          FUNCTION_LITERAL
+            PsiElement(LBRACE)('{')
+            BODY
+              NULL
+                PsiElement(null)('null')
+            PsiElement(RBRACE)('}')
+    PsiWhiteSpace('\n')
+    PROPERTY
+      PsiElement(val)('val')
+      PsiWhiteSpace(' ')
+      PsiElement(IDENTIFIER)('a')
+      PsiWhiteSpace(' ')
+      PsiElement(EQ)('=')
+      PsiWhiteSpace(' ')
+      IF
+        PsiElement(if)('if')
+        PsiElement(LPAR)('(')
+        CONDITION
+          INTEGER_CONSTANT
+            PsiElement(INTEGER_LITERAL)('1')
+        PsiElement(RPAR)(')')
+        PsiWhiteSpace(' ')
+        THEN
+          FUNCTION_LITERAL
+            PsiElement(LBRACE)('{')
+            PsiWhiteSpace('\n  ')
+            BODY
+              PROPERTY
+                PsiElement(var)('var')
+                PsiWhiteSpace(' ')
+                PsiElement(IDENTIFIER)('f')
+                PsiWhiteSpace(' ')
+                PsiElement(EQ)('=')
+                PsiWhiteSpace(' ')
+                REFERENCE_EXPRESSION
+                  PsiElement(IDENTIFIER)('a')
+              PsiElement(SEMICOLON)(';')
+              PsiWhiteSpace('\n  ')
+              REFERENCE_EXPRESSION
+                PsiElement(IDENTIFIER)('a')
+            PsiWhiteSpace('\n')
+            PsiElement(RBRACE)('}')
+        PsiWhiteSpace(' ')
+        PsiElement(else)('else')
+        PsiWhiteSpace(' ')
+        ELSE
+          FUNCTION_LITERAL
+            PsiElement(LBRACE)('{')
+            BODY
+              NULL
+                PsiElement(null)('null')
+            PsiElement(RBRACE)('}')
\ No newline at end of file
diff --git a/idea/testData/psi/ThisType.txt b/idea/testData/psi/ThisType.txt
index d44ef2aaa23..9351f37ffca 100644
--- a/idea/testData/psi/ThisType.txt
+++ b/idea/testData/psi/ThisType.txt
@@ -149,7 +149,7 @@ JetFile: ThisType.jet
                 VALUE_ARGUMENT_LIST
                   PsiElement(LPAR)('(')
                   PsiElement(RPAR)(')')
-              PsiElement(SEMICOLON)(';')
+            PsiElement(SEMICOLON)(';')
             PsiWhiteSpace('\n  ')
             PsiElement(RBRACE)('}')
         PsiWhiteSpace('\n')
diff --git a/idea/testData/psi/examples/AnonymousObjects.txt b/idea/testData/psi/examples/AnonymousObjects.txt
index 15506021022..df51c6afd3e 100644
--- a/idea/testData/psi/examples/AnonymousObjects.txt
+++ b/idea/testData/psi/examples/AnonymousObjects.txt
@@ -203,6 +203,6 @@ JetFile: AnonymousObjects.jet
                       PsiElement(RPAR)(')')
               PsiWhiteSpace('\n')
               PsiElement(RBRACE)('}')
-          PsiElement(SEMICOLON)(';')
+        PsiElement(SEMICOLON)(';')
         PsiWhiteSpace('\n\n')
         PsiElement(RBRACE)('}')
\ No newline at end of file
diff --git a/idea/testData/psi/examples/UnionFind.txt b/idea/testData/psi/examples/UnionFind.txt
index 28dfdf1dd6e..769c7dfb7f7 100644
--- a/idea/testData/psi/examples/UnionFind.txt
+++ b/idea/testData/psi/examples/UnionFind.txt
@@ -135,7 +135,7 @@ JetFile: UnionFind.jet
                   REFERENCE_EXPRESSION
                     PsiElement(IDENTIFIER)('x')
                   PsiElement(RBRACKET)(']')
-              PsiElement(SEMICOLON)(';')
+            PsiElement(SEMICOLON)(';')
             PsiWhiteSpace('\n    ')
             IF
               PsiElement(if)('if')
@@ -182,7 +182,7 @@ JetFile: UnionFind.jet
                     REFERENCE_EXPRESSION
                       PsiElement(IDENTIFIER)('p')
                   PsiElement(RPAR)(')')
-              PsiElement(SEMICOLON)(';')
+            PsiElement(SEMICOLON)(';')
             PsiWhiteSpace('\n    ')
             BINARY_EXPRESSION
               ARRAY_ACCESS_EXPRESSION
diff --git a/idea/testData/psi/examples/collections/IIterator.txt b/idea/testData/psi/examples/collections/IIterator.txt
index 5f554760dca..da96d6b3d7d 100644
--- a/idea/testData/psi/examples/collections/IIterator.txt
+++ b/idea/testData/psi/examples/collections/IIterator.txt
@@ -297,7 +297,7 @@ JetFile: IIterator.jet
               PsiWhiteSpace(' ')
               INTEGER_CONSTANT
                 PsiElement(INTEGER_LITERAL)('0')
-              PsiElement(SEMICOLON)(';')
+            PsiElement(SEMICOLON)(';')
             PsiWhiteSpace('\n    ')
             FOR
               PsiElement(for)('for')