Hi Vidyaranya,
Did you try these mothods;
Performing a Basic Reset
Performing a basic reset of a Cisco Unified IP Phone provides a way to recover if the phone experiences an error and provides a way to reset or restore various configuration and security settings.
A basic reset resets any user and network configuration changes that you have made but that the phone has not written to its Flash memory to previously-saved settings, then restarts the phone.
To perform a basic reset, hold down the * and the 6 keys, and press the Settings button.
Performing a Factory Reset
When you perform a factory reset of the Cisco Unified IP Phone, the following information is erased or reset to its default value:
•CTL file-Erased
•User configuration settings-Reset to default values
•Network configuration settings-Reset to default values (optional)
•Locale information-Reset to default value
•Call histories-Erased
To perform a factory reset of a phone, perform the following steps.
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Note The phone must be on a DHCP-enabled network before you can perform these steps.
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Procedure
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Step 1 Unplug the power cable from the phone and then plug it back in.
The phone begins its power up cycle.
Step 2 Immediately press and hold # while the Headset, Mute, and Speaker buttons turn on and off in sequence.
Release # after the Speaker button turns off.
The Headset, Mute, and Speaker buttons flash in sequence to indicate that the phone is waiting for you to enter the key sequence for the reset.
Step 3 Press 123456789*0# within 60 seconds after the Headset, Mute, and Speaker buttons begin to flash.
If you repeat a key within the sequence (for example, if you press 1223456789*0#), the sequence will still be accepted and the phone will reset.
If you do not complete this key sequence or do not press any keys, the Headset, Mute, and Speaker buttons will stop flashing after 60 seconds and the phone will continue with its normal startup process. The phone will not reset.
If you enter an invalid key sequence, the buttons will stop flashing immediately and the phone will continue with its normal startup process. The phone will not reset.
If you enter this key sequence correctly, the phone displays this prompt:
Keep network cfg? 1 = yes 2 = no
Step 4 To maintain existing network configuration settings for the phone when the phone resets, press 1. To reset network configuration settings when the phone resets, press 2.
If you press another key or do not respond to this prompt within 60 seconds, the will continue with its normal startup process and will not reset.
Otherwise, the phone goes through the factory reset process.
http://www.cisco.com/en/US/docs/voice_ip_comm/cuipph/7960g_7940g/5_0/sip/english/administration/guide/7960trbS.html#wp1097757
Hope this helps!
Rob
