The oxidative potential of the fungus Penicillium brasilianum, a strain isolated as endophytic from a Meliaceae plant (Melia azedarach), was investigated using 1-indanone as substrate to track the production of monooxygenases. The fungus produced the dihydrocoumarin from 1-indanone with the classical Baeyer-Villiger reaction regiochemistry, and (-)-(R)-3-hydroxy-1-indanone with 78% ee. Minor compounds that had resulted from lipase and SAM activities were also detected. The biotransformation procedures were also applied using a collection of Penicillium and Aspergillus fungi obtained from M. azedarach and Murraya paniculata. The results showed that Baeyer-Villiger were mostly active in fungi isolated from M. azedarach. Almost all fungi tested produced 3-hydroxy-1-indanone.