-Packet loss is a major issue in Wireless Sensor Network (WSN) data transmission which is caused by malicious packet dropping and link error. In conventional methods, the malicious dropping may result in a packet loss rate that is comparable to normal channel losses, the stochastic processes that characterizes the two phenomena exhibited in different correlation which would affect the network performance i.e. detection accuracy. By detecting the correlations between lost packets, we will decide whether the packet loss is purely due to regular link errors, or is a combined effect of link error and malicious drop. In order to overcome these issues, we have proposed a HLA (Homomorphic Linear Authentication) based on routing protocol which is a collusion proof mechanism and resolves the public auditing problem. Here, the proposed technique will be implemented in OLSR (Optimized Link State Routing) Protocol. The actual status of each packet transmission i.e., the packet loss information can be described by our technique. The network simulation results describe the performance of the proposed method in terms of detection accuracy in low computation complexity. Our HLA based OLSR protocol is compared with existing AODV, RIP and other protocols.Index Terms -WSN, AODV, OLSR, HLA, malicious node attack, Link Error.