The catalytic activity of the Au NPs and Au 3+ metal ions used in the oxidation of carbonyl compounds by in situ generated Na2FeO4 from an industrial point of view. In the subsequent study used the chemical reduction and green method in favor of the fabrication of 30 to70nm in the size of Au NPs. Carbonyl compounds converted to aromatic and aliphatic acids by the oxidation process. Au NPs give better yield as compared to Au 3+ ion since in case of bulk metal the size is enlarged and surface area reduce but converted to nanoparticles the surface area increased so catalytic activity augmented.