Steganography and Cryptography are two popular ways of sending vital information in a secret way. One hides the existence of the message and the other distorts the message itself. There are many cryptography techniques available; among them AES is one of the most powerful techniques. In Steganography we have various techniques in different domains like spatial domain, frequency domain etc. to hide the message. It is very difficult to detect hidden message in frequency domain and for this domain we use various transformations like DCT, FFT and Wavelets etc. In this project we are developing a system where we develop a new technique in which Cryptography and Steganography are used as integrated part along with newly developed enhanced security module. In Cryptography we are using AES algorithm to encrypt a message and a part of the message is hidden in DCT of an image; remaining part of the message is used to generate two secret keys which make this system highly secured. Keyword: Cryptography, Steganography, Stego- image, Threshold Value, DCT Coefficient