I have my iphone activated and working since 3days, i purchased it from ebay with 1year warranty, when i check the serial number from Apple store at Bangalore Forum mall, they say that it does not show anything and 'OUT OF WARRANTY'.

I have my iphone4 activated and working since 3days, i purchased it from ebay with 1year warranty, when i check the serial number from Apple store at Bangalore Forum mall, they say that it does not show anything and 'OUT OF WARRANTY'.
Now i have a problem in it, all icons just shake and system hangs, needs restarting.

You need to go back to the person you bought it from. Sounds like they may have sold you phone that is not as described.
Did you check the warranty status before purchasing it?

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