Guys,
Based on previous postings and my experiences so far, please find attached a diagram I used to help guide your attempt to unlock 1.1.1.

To minimise duplication with previous and other postings, I only included here the summary for each procedures mentioned in the diagram:
WHAT YOU NEED:
1. iNdependence 1.2.5
2. CyberDuck
3. anySIM 1.1
4. iPhone v1.0.2 Restore firmware (iPhone1,1_1.0.2_1C28_Restore.ipsw)
5. Saviour Pack
6. Virginizing Pack (should contain Installer.app and iNdependence as well)
THE PROCEDURES:
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Here I put the summary of each steps to help simplify your task:
DOWNGRADE TO FIRMWARE 1.0.2
Ref: Phase 1 of [GUIDE] Downgrade v1.1.1 to v1.0.2 + Activation + YouTube + Unlock (Windows)
1. Mac: copy iPhone1,1_1.0.2_1C28_Restore.ipsw file to ~/Library/iTunes/iPhone Software Updates folder
2. iTunes: Start
3. iPhone: Restore ModeHold down the Sleep and Home button for 10 seconds. Allow the phone to power off, but keep holding down the buttons. After 10 seconds, let go of the Sleep button, but keep the Home button pressed until iTunes sees your iPhone. The screen on your iPhone should be displaying nothing right now.
4. iTunes: Restore to 1.0.2iTunes will ask you if you want to restore. Hold down Option, and click restore. When iTunes asks you what file you would like to restore from, navigate to youriPhone1,1_1.0.2_1C28_Restore.ipsw file.
When it completes, you will get an error. The iPhone will display the yellow triangle on the screen.THIS IS OK!!
5. iNdependence: Fix Restore ErrorRun independence to fix iPhone from RESTORE mode.
6. iNdependence: ActivateUse iPhone 1.0.2 Restore Folder if asked by iNdependence
7. iNdependence: Jailbreak
8. iNdependence: Install SSH
YOU HAVE FIRMWARE VERSION 1.0.2
DOWNGRADE BASEBAND
Ref: Phase 2 of [GUIDE] Downgrade v1.1.1 to v1.0.2 + Activation + YouTube + Unlock (Windows)
1. iPhone: Set AutoLock to NEVER Go to Settings > General >AutoLock> choose 'Never'
2. CyberDuck: Copy contents of Saviour Pack into /usr/bin folder of iPhone
3. Mac: Run ssh to connect to iPhoneGo to /usr/bin, and make sure all files are executable
Code:
cd /usr/bin
chmod +x *
Stop CommCenter
Code:
launchctl unload -w /System/Library/LaunchDaemons/com.apple.CommCenter.plist
Verify that baseband is version 4.01
Wipe the baseband version 4.01
Verify that yo have no baseband
Install/Flash the baseband version 3.14
Code:
bbupdater -e ICE03.14.08_G.eep -f ICE03.14.08_G.fls
Verify that you now have baseband version 3.14
Start CommCenter
Code:
launchctl load -w /System/Library/LaunchDaemons/com.apple.CommCenter.plist
4. iPhone: Verify Baseband is 3.14.08Go to Settings > General > About
YOU HAVE THE BASEBAND VERSION 3.14
VIRGINIZE BASEBAND
Ref: Virginizing your 1.0.2 iPhone for Upgrade to 1.1.1
1. iPhone: Set AutoLock to NEVER Go to Settings > General >AutoLock, choose 'Never'
2. CyberDuck: Copy contents of Virginize Folder into /usr/bin folder of iPhoneCopy only the following files from Virginize Folder:
ICE03.14.08_G.fls
iUnlock
norz
bbupdater
eliteloader.bin
ICE03.14.08_G.eep
3. Mac: Run ssh to connect to iPhoneGo to /usr/bin, and make sure all files are executable
Code:
cd /usr/bin
chmod +x *
Stop CommCenter
Code:
launchctl unload -w /System/Library/LaunchDaemons/com.apple.CommCenter.plist
Wipe the current UNLOCKED baseband
Code:
./iUnlock ./ICE03.14.08_G.fls ./eliteloader.bin
Verify that yo have no baseband
Install/Flash the VIRGIN baseband version 3.14
Code:
./bbupdater -f ./ICE03.14.08_G.fls -e ./ICE03.14.08_G.eep
Verify that you now have baseband version 3.14
Start CommCenter
Code:
launchctl load -w /System/Library/LaunchDaemons/com.apple.CommCenter.plist
YOU HAVE THE FACTORY DEFAULT, LOCKED, BASEBAND V 3.14
UPGRADE TO FIRMWARE 1.1.1
Ref: Upgrading to 1.1.1 and Preparing the 1.1.1 iPhone for Unlock/Modding
1. iNdependence: prepare iPhone for the upgradeClick the Firmware tab, and hit the Pre 1.1.1 Upgrade button.
FOLLOW THE INSTRUCTION!!!
2. iTunes: Update to 1.1.1
3. iNdependence: Activate
4. iNdependence: Install SSH
5. iNdependence: change password to “dottie”
YOU HAVE JAILBREAKED FIRMWARE 1.1.1
UNLOCK FIRMWARE 1.1.1
Ref: Unlocking the 1.1.1 iPhone anySIM
1. iNdependence: Install anySIM 1.1Under the Customize tab, click Applications>System, and then hit the Add button.
2. iNdependence: Install Installer.app
3. iPhone: Set AutoLock to NEVERGo to Settings > General >AutoLock, choose 'Never'
4. iPhone: run anySIM
YOU HAVE UNLOCKED FIRMWARE 1.1.1