Perovskite LaFeO3 nanoparticles with a size of less than 50 nm have been synthesized by sol-gel method using citric acid, oxalic acid, and succinic acid as chelating agents. The obtained products were characterized by various techniques like XRD, FT-IR, HRTEM, and SAED. The elemental composition was analyzed by EDX. The magnetic and ferroelectric properties were investigated using VSM and Precision multiferroic tester. Batch experiments were conducted to test the ability of LaFeO3 samples for removal of cadmium (Cd2+) from the contaminated water. The concentration of heavy metal ion was monitored by AAS technique. Adsorption studies revealed that the LaFeO3 prepared by succinic acid possess high adsorption capacity.