I found the solution. Problem was that verisign's root certificate was not added in my trusted store (cacerts). So I added that using the following command
keytool -import -alias root -file root.cer -keystore "c:/program files/java/jdk1.5.0_05/jre/lib/security/cacerts" -storepass changeit
the quotation marks are there in the file.
and then I imported the certificate reply from verisign using the same alias that I used to create the key
keytool -import -alias
tomcat -file versign.cer -keypass 123456 -trustcacerts -keystore server.keystore
Then it installed the reply in my keystore.
Thats it.