diff --git a/codan/org.eclipse.cdt.codan.checkers/src/org/eclipse/cdt/codan/internal/checkers/ReturnChecker.java b/codan/org.eclipse.cdt.codan.checkers/src/org/eclipse/cdt/codan/internal/checkers/ReturnChecker.java
index b917dece9bd..86a9d9e25a5 100644
--- a/codan/org.eclipse.cdt.codan.checkers/src/org/eclipse/cdt/codan/internal/checkers/ReturnChecker.java
+++ b/codan/org.eclipse.cdt.codan.checkers/src/org/eclipse/cdt/codan/internal/checkers/ReturnChecker.java
@@ -192,7 +192,7 @@ public class ReturnChecker extends AbstractAstFunctionChecker {
 	 */
 	private boolean isCompoundStatement(IASTStatement last) {
 		return last instanceof IASTIfStatement || last instanceof IASTWhileStatement || last instanceof IASTDoStatement
-				|| last instanceof IASTForStatement || last instanceof IASTSwitchStatement;
+				|| last instanceof IASTForStatement || last instanceof IASTSwitchStatement || last instanceof IASTCompoundStatement;
 	}
 
 	protected boolean isFuncExitStatement(IASTStatement statement) {
diff --git a/codan/org.eclipse.cdt.codan.core.test/src/org/eclipse/cdt/codan/core/internal/checkers/ReturnCheckerTest.java b/codan/org.eclipse.cdt.codan.core.test/src/org/eclipse/cdt/codan/core/internal/checkers/ReturnCheckerTest.java
index b69f416b1dd..aba819266d8 100644
--- a/codan/org.eclipse.cdt.codan.core.test/src/org/eclipse/cdt/codan/core/internal/checkers/ReturnCheckerTest.java
+++ b/codan/org.eclipse.cdt.codan.core.test/src/org/eclipse/cdt/codan/core/internal/checkers/ReturnCheckerTest.java
@@ -256,6 +256,16 @@ public class ReturnCheckerTest extends CheckerTestCase {
 		checkErrorLine(1);
 	}
 
+	//	int f345687() {
+	//		{
+	//			return 0;
+	//		}
+	//	}
+	public void testNextedBlock_Bug345687() {
+		loadCodeAndRunCpp(getAboveComment());
+		checkNoErrors();
+	}
+
 	//	int
 	//	fp_goto(int a)
 	//	{