Sometimes a person can miss the obvious :(
I was assuming that terrain from powercivil is a mesh. But it was not , so I dropped it into one and then I could go ahead a little in my task. Thank you for that Frank :)
But now I have a doubt on the way it does the draping. here is the snapshot with wireframe view and smooth view. I thought it should drape the image but what it display is different shades of green all over the place. Am I missing something here?