The feasibility of an inexpensive wastewater treatment system is evaluated in this study. An integrated biological pond system was operated for more than 3 years to purify the wastewater from a medium-sized city, Central China. The experiment was conducted in 3 phases with different treatment combinations for testing their purification efficiencies. The pond system was divided into 3 functional regions: influent purification, effluent upgrading and multi-utilization. These regions were further divided into several zones and subzones. Various kinds of aquatic organisms, including macrophytes, algae, microorganisms and zooplankton, were effectively cooperating in the wastewater treatment in this system. The system attained high reductions of BOD5, COD, TSS, TN, TP and other pollutants. The purification efficiencies of this system were higher than those of most traditional oxidation ponds or ordinary macrophyte ponds. The mutagenic effect and numbers of bacteria and viruses declined significantly during the process of purification. After the wastewater flowed through the upgrading zone, the concentrations of pollutants and algae evidently decreased. Plant harvesting did not yield dramatic effects on reductions of the main pollutants, though it did significantly affect the biomass productivity of the macrophytes. The effluent from this system could be utilized in irrigation and aquaculture. Some aquatic products were harvested from this system and some biomass was utilized for food, fertilizer, fodder and some other uses. The wastewater was reclaimed for various purposes.