In the generation of wireless communication, MANET has become an undividable and acceptable part for communication for mobile equipments. Therefore, interest in research of MANET has been increasing since last several years. Security is a very challenging issue in MANET as it is without infrastructure and self-governing. Nodes in MANET used for real time applications also make it difficult to devise the resource demanding security protocols because of their limited battery, power, memory and processing capabilities. One of powerful form of such kind of attacks is wormhole attack that affects on the network layer. In this paper, we have survey various techniques dealing with detection of wormhole attack and an approach for wormhole detection and prevention is proposed. A proposed approach is based on the Hash based Compression Function (HCF) which is actually using any secure hash function to compute a value of hash field for RREQ packet. Proposed approach looks very promising compared to other possible solutions in literature survey. All the simulations will be performed in NS2 simulator using AODV reactive routing protocol.