The present study is aimed at the synthesis and exploring the efficiency of a novel activated carbon incorporated polyindole (AC@PIN) composite for adsorptive removal of Malachite Green (MG) dye from aqueous solution. An AC@PIN hybrid material was prepared by in situ chemical oxidative polymerization. The physico-chemical characteristics of the AC@PIN composite were assessed using Fourier-transform infrared spectrometer, X-ray diffraction, scanning electron microscopy, energy dispersive X-ray spectroscopy, ultraviolet visible spectroscopy, and determination of point of zero charge (pHPZC). A series of adsorption studies was conducted to evaluate the influence of operational parameters such as pH, contact time, initial dye concentration, AC@PIN dosage, and temperature on dye adsorption behavior of developed composite. A maximum dye removal percentage (97.3%) was achieved at the pH = 10, AC@PIN dosage = 6.0 mg, initial dye concentration 150 mg L−1, and temperature = 20 °C. The kinetic studies demonstrated that the adsorption of MG on AC@PIN followed pseudo-second-order model (R2 ≥ 0.99). Meanwhile, Langmuir isotherm model was founded to be the best isotherm model to describe the adsorption process. Finally, the recyclability test revealed that the composite exhibits good recycle efficiency and is stable after 5 cycles. The obtained results suggest that AC@PIN composite could be a potential candidate for the removal of MG from wastewater.