Infrastructure Software

Hi all,
I am configuring my freeradius to use oracle as a backend to it. I succeeded in building the rlm_sql_oracle drivers.
I have my oracle database and the freeradius server on the same machine. I've also installed oracle client which is a full administrator client(although instant client was ok). My system is RHEL4 x86-64 bit and oracle 10gR2 64 bit. I have configured everything as per the document "using freeradius with oracle as backend" but while starting the radius server I get the following error:

rlm_sql (sql): Attempting to connect to radius@202.XX.61.XX:/(DESCRIPTION=(ADDRESS=(PROTOCOL=TCP)(HOST=202.XX.61.XX)(PORT=1521))(CONNECT_DATA=(SID=billing)))
rlm_sql (sql): starting 0
rlm_sql (sql): Attempting to connect rlm_sql_oracle #0
rlm_sql_oracle: Couldn't init Oracle OCI environment (OCIEnvCreate())
rlm_sql (sql): Failed to connect DB handle #0
rlm_sql (sql): starting 1
rlm_sql (sql): starting 2
rlm_sql (sql): starting 3
rlm_sql (sql): starting 4
rlm_sql (sql): Failed to connect to any SQL server.

I googled this error and found out that ORACLE_HOME variable needs to be set. I even did that as oracle user, but still got the same error. I am running freeradius as root.
I have been setting the ORACLE_HOME as /u01/app/oracle/product/10.2.0/client_1.
I also have tnsnames.ora file in the $ORACLE_HOME/network/admin directory for connecting with database.
Can someone please help me in figuring out this error as i am struggling with it for the past few days. The freeradius starts but it does'nt get connected with oracle.
Thanks in advance.

jayesh