Top half of iphone not responding to touch!!! help plz!

[Village Loon]

Hi, for some reason the top half of my iphone just stopped responding to touch so i cannot open sms camera, basically all my apps on top half and when on like contacts the contacts on top half, dont open (all apps r like this). I have a 8gb iphone and is on firmware 1.2 beta it is not the fm cos i have been 1.2 for a while now. if anyone has any ideas, plz help.

[Safari]

Seetings>General>Reset>Rest All Settings

If nothing happens, restore.

If still nothing happens, take it to Apple.

[Village Loon]

cant restore because i am at skl and proxies wont let me go to itunes store, or connect to itunes, is there anyway to restore by overiding the checking feature, for exmaple it saying it need to connect to itunes and check fm but i cant connect to itunes and instead of give me option to option click the phone doesnt pop up.