In the present scenario of depleting energy resources and search for eco-friendly and economically viable alternatives, bio-diesel has gained worldwide attention. Non-edible oils over edible oil hold the potential to act as sustainable sources for the production of bio-diesel. Removal of oil left behind a major part of the seed material as seed cake. The latter is generally regarded as waste because of its anti-nutritional content. In the present study, two de-oiled seed cakes, Madhuca indica (mahua) and Jatropha curcus (jatropha) were used for the growth of Paecilomyces variotii, to produce proteases and cellulases, respectively. These enzymes are already known to have considerable industrial importance. At an initial moisture content of 50% and temperature 30°C, maximum protease activity of 52.5 U/g and cellulase activity 27.3 U/g was recorded from A. niger and P. variotii respectively. HPLC studies showed 67.9-71.5% degradation of saponins, the major anti-nutritional factors present in mahua cake. This study proved beneficial for management of oil seed cakes via solid state fermentation, producing enzymes as value added products.