A novel process was developed for oxidative desulfurization (ODS) in the absence of a phase transfer catalyst (PTC) using only Keggin heteropolyacids and their aluminum salts as catalysts. Reactions were performed in biphasic mixtures of isooctane/acetonitrile, with dibenzothiophene (DBT) as a model sulfur compound and hydrogen peroxide as the oxidant. Remarkably, only the AlPMo12O40-catalyzed reactions resulted in complete oxidation of DBT into DBT sulfone, which was totally extracted by acetonitrile, reducing the sulfur content of isooctane from the 1000 ppm to <1 ppm. Ranking of catalyst efficiency is as follows: AlPMo12O40 > H3PMo12O40 > AlPW12O40 > H3PW12O40. The absence of a PTC, acidic organic peroxides, and the use of hydrogen peroxide, an environmentally benign oxidant, make up the positive aspects of AlPMo12O40-catalyzed ODS reactions. In these reactions, high rates of DBT removal (ca. 100%) were achieved within a short time (ca. 2 hours) and under mild reaction conditions.