Recent earthquake case histories have revealed the liquefaction of silty sands during earthquakes. A major challenge is the selection of the appropriate residual strength of liquefied materials for use in analyses to assess the post-liquefaction stability of embankments and other soil structures. During Bhuj earthquake on 26th KEYWORDS: Earthquake, Liquefaction, Liquefied Soil, Residual Strength January 2001, fine sand containing appreciable amount of silt were transported to the ground surface due to liquefaction induced upward ground water flow. Several sand-boils were observed near the region close to epicenter of the earthquake. This paper describes the results of an experimental study on the undrained shear behavior of such silty sands collected from the locations very close to the epicenter of Bhuj earthquake. The present study focuses on the effects of appreciable amount of silt content and confining stress on residual shear strength of silty sands in triaxial compression under monotonic loading and potential for liquefaction under cyclic loading.