A traditional Chinese medicinal preparation for treating damp turbidity and spleen stagnation type hyperlipidemia is prepared by using malt, millet sprout, rice grain sprout, Gynostemma pentaphylla, lotus leaf, corn silk, Chinese yam, dried orange peel, cassia seed, hawthorn fruit, Mythic Fungus, wolfberry fruit, Poria cocos, white hyacinth bean, lotus seed, black soybean, jujube, Coriolus versicolor(L.ex Fr.)Quel., dahurian angelica root, coix seed, Ligustri Lucidi Fructus and Semen Phaseoli. A preparation method of the traditional Chinese medicinal preparation comprises the following steps: decocting the above raw materials with water, cooling the obtained filtrate to room temperature, and inoculating Saccharomyces cerevisiae or Sac.carlsbergensis Hansen or Schizosaccharomyces pombe or Nematspora gossypii, wherein the amount of the above inoculated bacterium accounts for 1-5% of the volume of the water extract filtrate; fermenting at 20-32DEG C for 30-48h to obtain a suspension fermentation liquid, concentrating to obtain an extract paste, and drying at 80-100DEG C; and grinding the dried extract paste to fine powder having a particle size of 150mum or less to obtain an inactivated thallium and metabolite fine powder, detecting the protein content reaching 40% or more, and filling to a capsule. The clinic cure rate, the significant efficiency, the effective rate and the total effective rate of the preparation are 32.90%, 23.81%, 32.14% and 92.86% respectively.