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IEEE 802.16, known as WiMax, is at the top of communication technology drive because it is gaining a great position in the next generation of wireless networks. Due to the evolution of new technologies wireless is not secured as like others networking technologies. A lot of security concerns are needed to secure a wireless network. By keeping in mind the importance of security, the WiMax working groups has designed several security mechanisms to provide protection against unauthorized access and malicious threats, but still facing a lot of challenging situations. An authentication and authorization model provides protection for a network or technology and protects its resources from unauthorized use. This paper examines the threats which are associated with MAC layer and physical layer of WiMax and also proposes some enhancements to the existing model for improving the performance of the encryption algorithm. The paper proposes some techniques in the existing model to enhance its functionality and capability. Simulation is done using Qualnet4.5 simulation tool and the results are given at the end.