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I have recently downloaded truecrypt from www.truecrypt.org and got a .tar.gz file. I am completely new to ubuntu and dont know how to install it.Please help and give extra details.

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Truecrypt comes with a compressed installer script. Just extract the .tar.gz file and go to the folder and click on the "truecrypt-7.1a-setup-x86" file. It will ask you for your administrator password and after entering it it will install truecrypt.

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For Ubuntu 12.04, you might also take a look at the solution in this answer:

It is no official repository, but at least it allows you to use the apt-get package

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