Resting cells of Rhodococcus equi A4 (free or immobilized in hydrogels) produced monomethyl isophtalate 1c and monomethyl terephtalate 2c from methyl-3-cyanobenzoate 1a and methyl-4-cyanobenzoate 2a, respectively, via the intermediate carboxamides 1b and 2b. The use of dried immobilized biocatalysts resulted in an increased formation of the unwanted cyano acids 1d and 2d.