Finally after 3 months, the problem is resolved with this new update.
Updated to 7.0.3 yesterday. Its another unnerving story that update failed in b/w for some reason, thankfully the automatic backup done before the update made sure i didnt lose anything, except for the extra time.
iMessage and Facetime did not register util I reset the 'Network Settings' . After reset the activation happened in a jiffy and now Facetime works well .
3 months ordeal comes to an end. However leaving a harsh experience where Apple did not even recognize this problem either during this period or later in the released patch !!