Industrial effluents are nothing but the materials generally discarded from industrial operations or derived from manufacturing processes. The wastes of such activities are finally discharged into the soil and natural water courses resulted the undesired influence on environment particularly on soil microflora and soil enzymes. In recent years microbes have been drawing tremendous attention due to their ability to degrade waste materials and thereby improving soil quality. Enzymes respond to soil management changes long before other soil quality indicator changes are detectable. Soil enzymes play an important role in organic matter decomposition and nutrient cycling. Some enzymes only facilitate the breakdown of organic matter, while others are involved in nutrient mineralization. Taking the above facts in to consideration, a research was under taken in cotton ginning industry effluents to explain the impact of cotton ginning effluents on the microbial diversity and soil enzymes.