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I have an iPhone 3GS and it was unlocked from orange to 02..how do I authenticate it?

onymc

iPF Noob
I purchased an iPhone 3GS from someone else, I had the handset unlocked to 02 network.......I then sold the handset to a friend of mine as I was no longer using it, however after syncing the fone to iTunes she selected update software....she requested a refund which I grudge fully gave her due to her messing around with the handset.......however since I've had it back when it is switched on it says it is unable to authenticate??? What does this mean and is the phone completely unusable now or can I fix it??
 

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