We claim:
1. A crystalline form B1 of Obeticholic acid (1),
wherein the by X-ray powder diffraction (XRPD) pattern of crystalline form Bl is having 2 theta values at 3.06, 5.61, 6.23, 7.64, 7.95, 8.21, 9.39, 11.09, 12.46, 13.47, 13.90, 15.4, 15.7,16.48, 18.52, 18.87, 20.03, 20.40, 21.06,22.05, 22.53, 23.02, 23.28, 23.90, 24.58, 25.30, 25.64, 26.04, 27.54, 38.74 and 39.63 ± (0.2) degrees.
2. A process for preparing crystalline form Bl of Obeticholic acid (1) as claimed
in claim 1 comprising:
i. adding a suitable solvent to Obeticholic acid (1);
ii. heating the reaction mixture to 40 °C - 70 °C; iii. cooling the reaction mixture to a suitable temperature; iv. isolating the crystalline forms of Obeticholic acid (1); and
v. optionally, drying crystalline Obeticholic acid (1) using a suitable technique at a suitable temperature.
3. The process of claim 2, wherein the solvents is selected from a group
comprising of acetone, acetonitrile, nitromethane, 1,4-dioxane, diethyl ether,
dichloromethane, ethyl acetate, N, N-dimethylformamide, methyl tertiary butyl
ether, hexane, butyl acetate cyclohexane, toluene, tetrahydrofuran or mixtures
thereof.

4. Crystalline form Bl of Obeticholic acid (1) as claimed in claim 1, characterized
by:
a) differential scanning calorimetry (DSC) having endothermic peak at 295.68 °C as shown in figure 2, and
b) thermal gravimetric analysis (TGA) thermogram as shown in figure 3.

5. Crystalline form B2 of Obeticholic acid (1) characterized by X-ray powder diffraction (XRPD) pattern having 2 theta values at 4.30, 5.94, 6.50, 8.14, 8.39, 9.25, 9.51, 10.09, 11.12, 12.64, 14.31, 15.81, 16.05, 16.80, 17.28, 18.08, 18.86, 20.32, 20.53, 21.98 and 22.22 + 0.2 degrees.
6. A process for preparing crystalline forms B2 of Obeticholic acid (1) as claimed in claim 4 comprising:

1) adding a suitable solvent to Obeticholic acid (1) and stirring;
2) adding another suitable solvent to the step 1) reaction mass;
3) cooling the reaction mixture to a suitable temperature;
4) isolating the crystalline form B2 of Obeticholic acid (1); and
5) optionally, drying the isolated crystalline form of Obeticholic acid (1) using a suitable technique at a suitable temperature.

7. The process of claim 5, wherein the solvents is selected from a group comprising of acetone, acctonitrile, nitromethane, 1,4-dioxane, diethyl ether, dichloromethane, ethyl acetate, N, N-dimethylformamide, methyl tertiary butyl ether, hexane, butyl acetate cyclohexane, toluene, tetrahydrofuran or mixtures thereof.
8. A process for preparing crystalline forms B3 of Obeticholic acid (1) comprising:
a. adding a suitable solvent to Obeticholic acid (1) and stirring;
b. heating the reaction mixture to a suitable temperature;
c. adding another suitable solvent to the step b) reaction mixture;
d. filtering the reaction mixture and cooling the filtrate to a suitable
temperature;

e. isolating the crystalline form B3 of Obeticholic acid (1); and
f. optionally, drying the isolated crystalline form B3 of Obeticholic acid
(1) using a suitable technique at a suitable temperature.
9. A process for preparing crystalline forms B4 of Obeticholic acid (1)
comprising:
A. adding a suitable first solvent to Obeticholic acid (1) and stirring;
B. heating the reaction mixture to a suitable temperature;
C. adding a second solvent to the step B) reaction mixture;
D. filtering the reaction mixture and optionally, cooling the filtrate to a
suitable temperature;
E. isolating crystalline form B4 of Obeticholic acid (1); and
F. optionally, drying the isolated crystalline form B4 of Obeticholic acid
(1) using a suitable technique at a suitable temperature.
10. The process of claim 8 and 9, wherein the solvents is selected from a group
comprising of acetone, acctonitrile, nitromethane, 1,4-dioxane, diethyl ether,
dichloromethane, ethyl acetate, N, N-dimethylformamide, methyl tertiary butyl
ether, hexane, butyl acetate cyclohexanc, toluene, tetrahydrofuran or mixtures
thereof.