The main petroleum hydrocarbons (PHs) found in motor oil, such as asphaltenes and aliphatic and aromatic resins, are thought to be significant environmental and health hazards. Used engine oil contaminated soil samples were collected from the subsurface soil layers at a depth of 5 to 30 cm from four different service stations and motor garages located at Mankadu in the Kanniyakumari District. Using tributyrin agar (TBA) and rhodamine agar media, the microbial colonies were separated using mineral salt agar medium and then tested for lipolytic (lipase/esterase-producing) activity. Using drop collapse assays, emulsifying activity, oil surface tension decrease, and surfactant adhesion experiments, the effectiveness of lipolytic activity was assessed. The time for complete lapse of oil by the biosurfactant was observed on 48 hours to a period of 60th days. Four Proteus and one Pseudomonas were among the five bacteria that were isolated from the soil. The screening tests confirm the presence of biosurfactant. Pseudomonas sps showed the most highly significant lipolytic activity, followed by Proteus. Pseudomonas and Proteus species are excellent common species detected in oil-contaminated soil, according to the current research.