diff --git a/compiler/testData/diagnostics/tests/multimodule/packagePrivate.kt b/compiler/testData/diagnostics/tests/multimodule/packagePrivate.kt
new file mode 100644
index 00000000000..3c9aaa57c95
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/multimodule/packagePrivate.kt
@@ -0,0 +1,19 @@
+// MODULE: m1
+// FILE: a.kt
+
+package p
+
+private val a = 1
+
+// FILE: b.kt
+
+package p
+
+val b = a // same package, same module
+
+// MODULE: m2(m1)
+// FILE: c.kt
+
+package p
+
+val c = <!INVISIBLE_MEMBER!>a<!> // same package, another module
\ No newline at end of file
diff --git a/compiler/tests/org/jetbrains/jet/checkers/JetDiagnosticsTestGenerated.java b/compiler/tests/org/jetbrains/jet/checkers/JetDiagnosticsTestGenerated.java
index d5243441f41..9bc248bbd34 100644
--- a/compiler/tests/org/jetbrains/jet/checkers/JetDiagnosticsTestGenerated.java
+++ b/compiler/tests/org/jetbrains/jet/checkers/JetDiagnosticsTestGenerated.java
@@ -4872,6 +4872,11 @@ public class JetDiagnosticsTestGenerated extends AbstractJetDiagnosticsTest {
                 doTest("compiler/testData/diagnostics/tests/multimodule/internal.kt");
             }
             
+            @TestMetadata("packagePrivate.kt")
+            public void testPackagePrivate() throws Exception {
+                doTest("compiler/testData/diagnostics/tests/multimodule/packagePrivate.kt");
+            }
+            
         }
         
         @TestMetadata("compiler/testData/diagnostics/tests/namedArguments")
diff --git a/core/descriptors/src/org/jetbrains/jet/lang/descriptors/Visibilities.java b/core/descriptors/src/org/jetbrains/jet/lang/descriptors/Visibilities.java
index 042c8fd8e7f..edd50b72ca2 100644
--- a/core/descriptors/src/org/jetbrains/jet/lang/descriptors/Visibilities.java
+++ b/core/descriptors/src/org/jetbrains/jet/lang/descriptors/Visibilities.java
@@ -46,8 +46,9 @@ public class Visibilities {
                     return true;
                 }
                 if (fromParent instanceof PackageFragmentDescriptor) {
-                    return parent instanceof PackageFragmentDescriptor && ((PackageFragmentDescriptor) parent).getFqName()
-                            .isAncestorOf(((PackageFragmentDescriptor) fromParent).getFqName());
+                    return parent instanceof PackageFragmentDescriptor
+                           && ((PackageFragmentDescriptor) parent).getFqName().isAncestorOf(((PackageFragmentDescriptor) fromParent).getFqName())
+                           && DescriptorUtils.areInSameModule(fromParent, parent);
                 }
                 fromParent = fromParent.getContainingDeclaration();
             }