Specific filamentous fungi (FF) have been recognized for sludge treatment and possibly these strains can be utilized for simultaneous bioflocculation, solids and pathogens reduction and, removal and degradation of toxic compounds. Based on current research work and findings, this review provides the state-of-art knowledge on the role of FF (or moulds) in sludge treatment. The proposed theories are presented, critically analyzed and future scope for specific research on utilization of FF for treatment of sludge is recommended. (C) 2010 Elsevier Ltd. All rights reserved.