This paper presents a novel scheme that provides high level of security and privacy in a Wireless Mesh Network (WMN). We combine an approach of Network Coding with multiple layered encryption of onion routing for a WMN. An added superior feature provides higher level of security and privacy. Sensitive network information is confined to 1-hop neighborhood which is available anyways in a wireless medium with nodes using a bivariate polynomial. The only routing information divulged to a relay node is about next hop. No plain text is ever transmitted and all data can only be decrypted by its source and destination. Prior work finds it difficult to enforce encryption with network coding without divulging in complete routing information,hence losing privacy and anonymity. We compare our scheme with other existing approach for several networks. The preliminary results show this work to provide superior security and anonymity at low overhead cost.