Abstract: Background and Objective: Eco-friendly biological removal of heavy metal pollution from aqueous solution is a recent approach which using the biosorbent. It has lots of advantages over chemical approach like its low cost, more efficient, more effective, multiple uses etc. The fungi are one of the most desirable absorbents because of its cell wall characteristics. The present work, therefore, aimed to use Penicillium oxalicum isolated from lead-contaminated industrial wastewater to remove lead from aqueous solution. Materials and Methods: Its tolerance towards lead metal ions was studied by growing fungus in different metal concentration. Biosorption of lead by live fungal biomass was determined and different parameters like pH, temperature and incubation period were taken to observe maximum absorption. Physically and chemically retreated biomasses of the fungus were also used for lead biosorption. Lead metal concentration was determined by PAR methodology in all procedures. Results: Tolerance index of P. oxalicum was recorded 67.44 and relationship between tolerance by fungus and lead concentration was found R2 = 0.99. The lead metal ion was absorbed by live biomass which is affected by the incubation period, pH and temperature. Maximum 89.82% lead was absorbed by pretreated biomass of fungus. Among the different pretreatment procedure, detergent pretreatment was found most efficient. Conclusion: Penicillium oxalicum biomass is now one alternate to remove lead from aqueous solution. The industrial effluent was found an important source of potential micro-organism.