Problem resolved at the moment. Wondering how? Here it is

I booted into ubuntu live cd, accessed the drive, and thought of possible issues. I just deleted system volume info and recycler. Thats it. There were a few folders that were deleted too(they contained two movies - including Hitman :P )

As of now, the drive's working absolutely fine Will something turn up in the future -don't know. But am relaxed at the moment.

Thanks everyone for your suggestions