The effluent generated from a thermal power plant waste is a mixture of several chemicals and to identify the effect of these chemicals on SOIL, a case study on naturally contaminated sites at Al-Musayyib region, Hilla city in Iraq has been carried out. SOIL and water samples were collected from the sites and analyzed to identify the pollutants and their effect on SOIL characteristics. Laboratory experiments were formulated to model the field around a channel collecting effluent for about 20 years and the pollutant transport pattern through the SOIL using soaking process was studied. Experiments were also conducted to study the effect of pollutants on engineering properties of the SOIL. For environmental MANAGEMENT, permeable reactive barriers are used as stabilization and solidification technology to control the pollution through the SOIL. In this study, the suitability of locally available materials like activated granular carbon was also investigated as reactive media in permeable reactive barrier. The results have shown higher change in geo-environmental properties of SOIL with the soaking period and it has also been proved that granular carbon improves the geo-environmental properties of polluted SOIL.