After restoring the database to the server, I got the following error while importing the organization using the Deployment Manager
The build version of the database that I was importing was different than the build version of the database of the organization that I already had there.
http://support.microsoft.com/kb/946594 ( to find the build version of the database)
The one we were importing had higher build version.
Than we installed the update for Microsoft Dynamics CRM 2011 Release Candidate
Restarted the server and was able to import the organization successfully.
Hope it helps.