Thanks for reply. However I don't completely agree with you for the reasons stated below:
--> I am using Free version of Swatch Theme by Woothemes which is equally liable to receive support in public forums as any other Free theme.
--> Moreover, the issue I am facing might not be with the theme at all. Reason for that is, same feature (portfolio) is working for me for the portfolio items created before, but for all the new items I am creating now, in exactly the same manner as before, it is showing extra pics as in links referred above in my original post as well.
Thus I feel the issue could be due to some of the new compatibility issues raised due to some other plugin or hosting server updates, if any, as well.
If I can be assured that the issue is only due to theme, I might not expect a response here, but since the issue could be anywhere else as well (considering theme is showing correctly in old portfolio pages), I believe I deserve a reply/help/support from all my fellow wordpress mates.
Hope now you can take a second look on my post and share your opinion on fixing the issue.
Thanks in advance,