diff --git a/src/compiler/emitter.ts b/src/compiler/emitter.ts
index a24e69e3005..b1dcbfbcd95 100644
--- a/src/compiler/emitter.ts
+++ b/src/compiler/emitter.ts
@@ -1693,8 +1693,37 @@ module ts {
             }
 
             function isExistingName(location: Node, name: string) {
-                return !resolver.isUnknownIdentifier(location, name) ||
-                    (currentScopeNames && hasProperty(currentScopeNames, name));
+                // check if resolver is aware of this name (if name was seen during the typecheck)
+                if (!resolver.isUnknownIdentifier(location, name)) {
+                    return true;
+                }
+
+                // check if name is present in generated names that were introduced by the emitter
+                if (currentScopeNames && hasProperty(currentScopeNames, name)) {
+                    return true;
+                }
+
+                // check generated names in outer scopes
+                // var x;
+                // function foo() {
+                //    let x; // 1
+                //    function bar() {
+                //        {
+                //            let x; // 2
+                //        }
+                //        console.log(x); // 3
+                //    }
+                //}
+                // here both x(1) and x(2) should be renamed and their names should be different
+                // so x in (3) will refer to x(1)
+                var frame = lastFrame;
+                while (frame) {
+                    if (hasProperty(frame.names, name)) {
+                        return true;
+                    }
+                    frame = frame.previous;
+                }
+                return false;
             }
 
             function initializeEmitterWithSourceMaps() {
diff --git a/tests/baselines/reference/downlevelLetConst19.js b/tests/baselines/reference/downlevelLetConst19.js
new file mode 100644
index 00000000000..adcc2e256a8
--- /dev/null
+++ b/tests/baselines/reference/downlevelLetConst19.js
@@ -0,0 +1,39 @@
+//// [downlevelLetConst19.ts]
+'use strict'
+declare function use(a: any);
+var x;
+function a() {
+  {
+    let x;
+    use(x);
+
+    function b() {
+        {
+            let x;
+            use(x);
+        }
+        use(x);
+    }
+  }
+  use(x)
+}
+use(x)
+
+//// [downlevelLetConst19.js]
+'use strict';
+var x;
+function a() {
+    {
+        var _x;
+        use(_x);
+        function b() {
+            {
+                var _x_1;
+                use(_x_1);
+            }
+            use(_x);
+        }
+    }
+    use(x);
+}
+use(x);
diff --git a/tests/baselines/reference/downlevelLetConst19.types b/tests/baselines/reference/downlevelLetConst19.types
new file mode 100644
index 00000000000..492d10b59c9
--- /dev/null
+++ b/tests/baselines/reference/downlevelLetConst19.types
@@ -0,0 +1,47 @@
+=== tests/cases/compiler/downlevelLetConst19.ts ===
+'use strict'
+declare function use(a: any);
+>use : (a: any) => any
+>a : any
+
+var x;
+>x : any
+
+function a() {
+>a : () => void
+  {
+    let x;
+>x : any
+
+    use(x);
+>use(x) : any
+>use : (a: any) => any
+>x : any
+
+    function b() {
+>b : () => void
+        {
+            let x;
+>x : any
+
+            use(x);
+>use(x) : any
+>use : (a: any) => any
+>x : any
+        }
+        use(x);
+>use(x) : any
+>use : (a: any) => any
+>x : any
+    }
+  }
+  use(x)
+>use(x) : any
+>use : (a: any) => any
+>x : any
+}
+use(x)
+>use(x) : any
+>use : (a: any) => any
+>x : any
+
diff --git a/tests/cases/compiler/downlevelLetConst19.ts b/tests/cases/compiler/downlevelLetConst19.ts
new file mode 100644
index 00000000000..e7aa48421f7
--- /dev/null
+++ b/tests/cases/compiler/downlevelLetConst19.ts
@@ -0,0 +1,19 @@
+'use strict'
+declare function use(a: any);
+var x;
+function a() {
+  {
+    let x;
+    use(x);
+
+    function b() {
+        {
+            let x;
+            use(x);
+        }
+        use(x);
+    }
+  }
+  use(x)
+}
+use(x)
\ No newline at end of file