before i forget, remove your previously connected ssid from your laptop and reconnect again make sure it re-prompt you for the password input.
worst comes to worst, remove all wireless security (keeping your wireless as a open network for testing purposes) and determine if it can be connected to the internet.
Bro CanNik, problem solved.. Not sure what is the issue though..
Used back my 1st setup, which is the hg256s doing the dhcp and the router just broadcasting the network..
Tried for one whole morning and out of frustration, I re-boot the hg256s and connect up my old router to see if it has the same issue.. It too had the same problem as the new router at first but managed to resolve itself somehow.. After which I decide to give the new router one more shot and it started to work..
I kind of suspect it is the default gateway issue but i am not too certain..
What do you think could have caused the issue?
Anyway, thanks for your guidance during the pass few days..