The quaternary ammonium salt, 1,1-diallyl-4-formylpiperazinium chloride (3) on cyclopolymerization in water solution in the presence of t-butylhydroperoxide gave water soluble polymer (5). The copolymers of (3) with sulfur dioxide have been prepared in DMSO solvent using ammonium persulfate as the initiator. The composition and phase diagram of the aqueous two-phase systems of the homopolymer (5) and copolymer (8) has been studied for the first time for this class of polymers. Synthesis of the polymer (8) paves the way for the preparation of a new class of polymers with a basic trivalent nitrogen as well as a quaternary nitrogen.