iTunes secretly backs up your data while syncing.
You have an option to restore to 1.1.4 firmware.
After the restore completes iTunes says ....
An iPhone has been previously synced with the computer.
-Set up as a new Phone
*Restore from the back up of "Select the correct backup in this box"
After the restoring your back up finishes ,you can back up ypur data from the /Library with WinSCP or Fugu.
Then restore again 1.1.4 and this time select "Set up as a new Phone".
Copy the back up to the Library again then use this command
" chown -R mobile:mobile /var/mobile " with puty.