Ok so before I start I have searched but cant fine anyone else with the same problem!

I thought I would install and try out iblacklist looked like a very cool program so I went ahead and blocked a friend and it worked great when they sent me an sms it would only be viewable in the history window in iblacklist. However when I turned off iblacklist the program stopped working and no longer stored the history however I still could not receive sms messages. I was planning to restore the phone in the near future anyway and so I went ahead and did this however I still cannot receive sms messages from this friend only I can receive them from all other people. What did I do? Is it even possible that the problem could be caused by iblacklist or is this a network issue?

HELP!!!!!!!

It's impossible that iBlacklist or any other application is causing this.
Even when you had it installed and just switched it OFF. You faced a respring on your device when you switched it OFF, and this happens to completely UNLOAD it.
Now you restored your device and are still facing the problem, so surely it's not caused by ANY previous installed application.