I am Vinod. I will try my best to help you resolve this issue.
Do you remember the error code while restoring the iphone?
Let's try a restore again. Open itunes in the computer and connect the iphone. Press and hold the home button and the power/sleep button together until you see an apple logo. The very moment you see the apple, let go off the power button, but keep on holding the home button. itunes should recognize your iphone in recovery mode and ask you to restore. Click on restore. If restored, set it up as a new phone. If the restore does not go through, let me know of the error number.
ok hold on
it doesnt say any error number, just shows the itunes sign and the usb cable
are u there