The arms seem a bit squarish which is fine if its the style you're after and you're going to animate this dude and make him battle with Gumby, but otherwise I think they're too boxy.
Yes, the hands is what bothers me too. Is there anyway to make changes to the model without messing up the UV mapping? I would like to redo the hands, but dont want to lose the mapping as that took me quite some time.