diff --git a/core/src/main/java/org/jboss/jandex/NameTable.java b/core/src/main/java/org/jboss/jandex/NameTable.java
index 1cb5be82..44fb348d 100644
--- a/core/src/main/java/org/jboss/jandex/NameTable.java
+++ b/core/src/main/java/org/jboss/jandex/NameTable.java
@@ -45,7 +45,7 @@ DotName convertToName(String name, char delim) {
         if (result != null)
             return result;
 
-        int loc = lastIndexOf(name, delim, '$');
+        int loc = lastIndexOf(name, delim);
         String local = intern(name.substring(loc + 1));
         DotName prefix = loc < 1 ? null : convertToName(intern(name.substring(0, loc)), delim);
         result = new DotName(prefix, local, true, loc > 0 && name.charAt(loc) == '$');
@@ -55,16 +55,23 @@ DotName convertToName(String name, char delim) {
         return result;
     }
 
-    private int lastIndexOf(String name, char delim1, char delim2) {
+    private int lastIndexOf(String name, char delim) {
         // Begin at second last position to avoid empty local name
         int pos = name.length() - 1;
         while (--pos >= 0) {
             char c = name.charAt(pos);
-            if (c == delim1 || c == delim2) {
+            if (c == delim || c == '$') {
                 break;
             }
         }
 
+        // avoid splitting on '$' if previous char is a delimiter or the '$'
+        // is in position 0, because subsequent split would produce an empty
+        // local name
+        if (pos >=0 && name.charAt(pos) == '$' && (pos == 0 || name.charAt(pos - 1) == delim)) {
+            pos--;
+        }
+
         return pos;
     }
 
diff --git a/core/src/test/java/$delimiters$/test/$SurroundedByDelimiters$.java b/core/src/test/java/$delimiters$/test/$SurroundedByDelimiters$.java
new file mode 100644
index 00000000..0cf9ecc2
--- /dev/null
+++ b/core/src/test/java/$delimiters$/test/$SurroundedByDelimiters$.java
@@ -0,0 +1,5 @@
+package $delimiters$.test;
+
+public class $SurroundedByDelimiters$ {
+
+}
diff --git a/core/src/test/java/$pkg/test/$LeadingDelimiter.java b/core/src/test/java/$pkg/test/$LeadingDelimiter.java
new file mode 100644
index 00000000..0a837f13
--- /dev/null
+++ b/core/src/test/java/$pkg/test/$LeadingDelimiter.java
@@ -0,0 +1,5 @@
+package $pkg.test;
+
+public class $LeadingDelimiter {
+
+}
diff --git a/core/src/test/java/org/jboss/jandex/test/DotNameTestCase.java b/core/src/test/java/org/jboss/jandex/test/DotNameTestCase.java
index 102339a7..d08b13e3 100644
--- a/core/src/test/java/org/jboss/jandex/test/DotNameTestCase.java
+++ b/core/src/test/java/org/jboss/jandex/test/DotNameTestCase.java
@@ -33,6 +33,8 @@
 import org.junit.Assert;
 import org.junit.Test;
 
+import $pkg.test.$LeadingDelimiter;
+
 /**
  * Since DotName is often used as a key in collections and implements Comparable,
  * make sure the #compareTo, hashCode, equals and toString are strictly consistent.
@@ -231,6 +233,33 @@ public static class Test$ {
 
     }
 
+    @Test
+    public void testLeadingInnerClassDelimiterOnClass() throws IOException {
+        DotName pkg = DotName.createComponentized(null, "$pkg");
+        DotName test = DotName.createComponentized(pkg, "test");
+        DotName testName = DotName.createComponentized(test, $LeadingDelimiter.class.getSimpleName());
+
+        Index index = Index.of($LeadingDelimiter.class);
+        assertEquals(testName, index.getKnownClasses().iterator().next().name());
+        assertNotNull(index.getClassByName(DotName.createSimple($LeadingDelimiter.class.getName())));
+        assertNotNull(index.getClassByName(testName));
+    }
+
+    @Test
+    public void testClassNameWithDelimitersFirstAndLast() throws IOException {
+        DotName pkg = DotName.createComponentized(null, "$delimiters$");
+        DotName test = DotName.createComponentized(pkg, "test");
+        DotName testName = DotName.createComponentized(test, $delimiters$.test.$SurroundedByDelimiters$.class.getSimpleName());
+        DotName testNameSimple = DotName.createSimple($delimiters$.test.$SurroundedByDelimiters$.class.getName());
+
+        Index index = Index.of($delimiters$.test.$SurroundedByDelimiters$.class);
+        DotName indexedName = index.getKnownClasses().iterator().next().name();
+        assertEquals(testName, indexedName);
+        assertNotNull(index.getClassByName(testNameSimple));
+        assertNotNull(index.getClassByName(testName));
+        assertEquals("$delimiters$.test.$SurroundedByDelimiters$", indexedName.toString());
+    }
+
     private static DotName createRandomDotName() {
         return r.nextBoolean() ? createRandomComponentised() : createRandomSimple();
     }