The first Pd/C‐catalyzed oxidative C(sp3)−H bond amination of o‐nitroacetophenones with benzylamines or amino acids proceeding through C−N bond cleavage followed by C−N bond formation by a hydrogen‐transfer strategy was developed. These transformations proceeded smoothly in water to afford the desired quinazolines in moderate to good yields. This protocol has a broad substrate scope and good tolerance of air, offers excellent recyclability of the catalyst, and does not need any additional oxidant, ligand, or base; the combination of all of these factors give a new and practical avenue for multiple C−N bond formation. Moreover, a hot filtration experiment indicated that heterogeneous palladium nanoparticles during the reaction are the active species.