Despite the state-of-the-art performance of Large Language Models (LLMs), these models often suffer from hallucinations, which can undermine their performance in critical applications. In this work, we propose SAFE, a novel method for detecting and mitigating hallucinations by leveraging Sparse Autoencoders (SAEs). While hallucination detection techniques and SAEs have been explored independently, their synergistic application in a comprehensive system, particularly for hallucination-aware query enrichment, has not been fully investigated. To validate the effectiveness of SAFE, we evaluate it on two models with available SAEs across three diverse cross-domain datasets designed to assess hallucination problems. Empirical results demonstrate that SAFE consistently improves query generation accuracy and mitigates hallucinations across all datasets, achieving accuracy improvements of up to 29.45%.