Q: i updated my ipad mini to ios7 and now showing an icon to connect to itunes. Tried restoring but it showed "ipad cannot be restored. Thios device is not eligible for the requested build".

You are in Recovery Mode. Follow the instructions below to recover your iPad.

http://support.apple.com/kb/ht4097

Did you do something illegal to your iPad previously, such as download a beta version of iOS 7 before it was released to the public?

You are describing the symptom that would normally occur if you did such a thing.

http://support.apple.com/kb/TS4451 lists that error.  Try it.

Excellent.  Glad to hear you didn't do anything illegal.

I would try ssschmidt's suggestion first then, and if that fails, try Diavonex' (which is a bit more drastic).