Sachin , who are the folks from Fiat that you have contacted so far ( apart from Rajiv Kapoor ) ?
From what I read in your posts - they have taken the car and tried to fix things. What according to them is the technical problem , what fixes did they do when they took the car ?
A company ( any company for that matter - be it Fiat or even Maruti ) will replace the car as a last resort - till then they will try to repair it. I do understand the pain that you are going through - but sorting this out will take time. Since ypu are located in Pune, how about meeting someone senior from Fiat in person ?
Try to become a member of http://autos.groups.yahoo.com/group/PalioUsersIndia/ and post your issue there - there are experts on the forum who might be able to guide you.
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