Monodispersed palladium nanoparticles (PdNp) have been synthesized by a green rapid bio-reduction method under room temperature and pressure. The reducing agents mainly involved in these processes are the various water soluble plant metabolites, polyphenols as well as co-enzymes present in the leaf extract of Tulsi (Ocimum sanctum). An active and stable montmorillonite K-10 supported heterogeneous catalyst was prepared using these PdNp for oxidation of alcohols to their corresponding carbonyl compounds with efficient yield and having good reusability. These are characterized by TEM, XRD, BET surface area and UV-Vis absorption spectroscopy. [GRAPHICS] .