IPhone can not be restored. No service. No Activation.

I recently asked a question on here with an answer which did not help. I have also asked elsewhere and they have just told me things that I have either already tried or already know about. I will try and produce a list of everything I have tried and what is not working.
Problem: I can not access into my phone because after installing the new iOS 5.1, I cannot get past the activation stage (note: the phone also says no service in the top left corner, even though it worked fine with previous iOS's). Also, after I decided to give up with iOS 5.1, I tried to revert back to a previous iOS (even as far back as iOS 4.0) and iTunes just tells me that 'the iPhone could not be restored'. Why?!
So now, I am left with no phone which I really need. I have tried restoring it back to all previous iOS's and none of them have worked. I have tried activating it through iTunes (it just tells me there is no sim card inserted). I have tried various other things too.
Please can someone shed some light on this situation.

Downgrading that way does not work, and is not supported by Apple.
Was your phone originally carrier locked and unlocked by unauthorized methods?  If so, when you updated to iOS 5.1, the phone re-locked to its original carrier and you now get no service.  There is no workaround.

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