A convenient and green protocol is developed for the chemoselective synthesis of indole derivatives by the one-pot, multi-component reaction of 5,5-dimethyl-3-(arylamino)cyclohex-2-enone derivatives (derived from the addition of various anilines to dimedone) with phenylglyoxal monohydrate, and diverse anilines, in water at room temperature. Advantages of this reaction include the availability of starting materials, use of water as a green solvent, catalyst-free approach, simple work-up, high yields, and preparation of potentially bioactive compounds.