An organocatalytic enantioselective Friedel-Crafts reaction of 1-naphthols with isatins has been developed employing bifunctional thiourea-tertiary amine organocatalysts. A variety of isatin derivatives react well with 1-naphthols in the presence of Cinchona derived thiourea 1a to provide biologically important chiral 3-aryl-3-hydroxy-2-oxindoles (3a-zg) in good yield (70-84%) and moderate to good enantioselectivity (37-83%).