As per the growth in the field of security, data authentication and data access control are the major issues. Now-a-days many users prefer to share their data through websites are bound to have many security related issues. The main issue is the leakage of password file. To overcome this issue, honey words concept is introduced. Honey words are the Decoy (fake) passwords. If an attacker steals the password file, it will include original password and honey words and password cracking becomes tougher. So, for an adversary it will become harder to distinguish between original password and a honey word. The administrator gets notification if any illegal login done apart from the genuine user. In this system the main advantage is that sensitive data can't be viewed by the unauthorized user. For this Identity Based Encryption (IBE) has been implemented. By this, only the user with genuine credentials allowed to view the original data.