With the rapid growth in the development of digital content, the terms security and privacy are very challenging issues. Watermarking is a broad interesting field which provides way in hiding an informal or formal data in another for maintaining intellectual property rights. The key perspectives of watermarking are security, robustness, invisibility and capacity. In the proposed technique the capacity is increased by embedding two RGB images in one RGB image. The invisibility of the hidden information is obtained by employing LSB substitution. The security is enhanced using a novel template matching detection scheme .The proposed fragile watermarking system destroys the watermarks when modified or tampered thus providing integrity and authentication features.