Regular monitoring of water quality (Physico-chemical and biological parameters) at select locations across all seasons in Bellandur and Varthur wetlands, reveal of functioning of wetlands through algal-bacterial treatment as an anaerobiceaerobic stabilisation pond (for two seasons) with a water residence of 5 days and 70% removal of filterable BOD. Higher proliferation of floating macrophytes reduced the algal photosynthesis and stabilisation of organic matter. Open surfaces facilitate algal growth and thus helps in achieving higher treatment levels appropriate reuse of water in small towns. Urban wetlands in Bangalore have been receiving higher nutrient concentrations from partially or untreated municipal wastewater. This has transformed the physico-chemical integrity and biological entities. Chlorophyceae (Chlorella blooms) were dominant due higher Ammonium-N content and were predominanat inin anoxic-aerobic conditions. Cyanophycean members were mostly observed in the partial anaerobic regions. Seasonal succession is evident with Chlorophycean members dominating the wet periods, while Cyanophycea are dominant during dry periods. Phytoplanktons density correlated with the lake's transparency/turbidity. The CCA analysis showed TP, TN, Turbidity, COD Alkalinity, EC and free CO₂ as dominant parameters governing the microflora distribution in the inlets and inorganic parameters (ionic) as Na, K, Ca and Mg, Chlorides and Nitrate-N governing he distribution other algal members in t outlets. The Cluster analysis revealed grouping of sites/seasons with similar nutrient status and showed broadly four different clusters. The present study reveals that Bellandur and Varthur wetlands have\ been functioning as wastewater fed treatment systems and sustained nutrient enrichments have led to the growth of bacterioplankton, phytoplankton and macrophytes. These two wetlands function differently because of flushing out of the macrophytes during the monsoon and enabling clear water surfaces that functions as high rate algal ponds.M