Poly(butylene terephthalate)/graphite (PBT/GP) composites were prepared using a melt-mixing method. To enhance the compatibility between PBT and GP, acrylic acid-grafted PBT (PBT-g-AA) and multi-hydroxyl-functionalized graphene oxide (GO-OH) were used to replace PBT and GP, respectively. Composites of PBT/GP or PBT-g-AA/GO-OH were prepared with 0, 1, 3, and 5 wt% inorganic filler (GP or GO-OH) contents. Crude graphene oxide (GO) was oxidized chemically using a mixture of H2SO4 and HNO3 and then reacted with thionyl chloride to functionalize it with chlorocarbonyl groups (GO-COCl). GO-OH was obtained from the reaction of graphene oxide (GO)-COCl with ethylene glycol. The composites were characterized morphologically by transmission electron microscopy. The PBT-g-AA/GO-OH was also characterized by FTIR spectra, C-13 solid-state NMR spectra, UV-Vis spectra, TEM micrographs, DSC analysis, TGA analysis and Electrical conductivity. The PBT-g-AA/GO-OH (3 wt%) composites had significantly improved thermal properties. The functionalized PBT-g-AA/GO-OH composite showed markedly enhanced anti-static properties. The optimal proportion of GO-OH in the composites was 3 wt%. In excess of this amount, the compatibility between the organic and inorganic phases was compromised.