The present invention relates to a simple, safe, and efficient process for the complete bio-decaffeination of caffeine-containing solutions using fungus Pseudomonas alcaligenes CFR 1708, a method of isolating pseudomonas alcaligenes CFR 1708 useful for the bio-decaffeination of caffeine-containing solutions, a Pseudomonas alcaligenes strain of accession number CFR 1708, and a decaffeinated solution obtained by aforementioned process.