Preparation of palladium nanoparticles supported on montmorillonite K‐10 clay is described. The utility of thus prepared catalyst was examined for copper free acyl Sonogashira reaction of acid chlorides with phenyl acetylenes to achieve various ynone scaffolds. Coumarin derived ynones were also synthesized under mild optimized reaction conditions. All the title compounds were obtained in good to excellent yield. The recycling efficiency of the catalyst was extremely good and used successfully for seven cycles without significant drop in the yield.