The degradation of an azo dye mixture by an aerobic bacterial consortium was studied in a rotating biological reactor. Laterite pebbles of particle size 850 mum to 1.44 mm were fixed on gramophone records using an epoxy resin on which the developed consortium was immobilized. Rate of degradation, BOD, biomass determination, enzymes involved, and fish bioassay were studied. The RBC has a high efficiency for dye degradation even at high dye concentrations (100 mug/mL) and high flow rate (36 L/h) at alkaline pH and salinity conditions normally encountered in the textile effluents. Bioassays (LD-50) using Thilapia fish in treated effluent showed that the percentage mortality was zero over a period of 96 h, whereas the mortality was 100% in untreated dye water within 26 h. Fish bioassay confirms that the effluent from RBC can be discharged safely to the environment.