Earlier work focussed mainly degradation of lignins and PPME decolorization. Information about BOD and COD removal lignin degradation by indigenous microbes and their consortium using bacteria and fungi is scanty. Therefore, the main objective of current problem was to isolate dominant bacteria and fungi from contaminated soil sites and to investigate their individual and consortium effect on decreasing BOD and COD, increasing DO and lignin biodegradation under shaking and stationary conditions.