One of WSIT user reported an issue with WCF June CTP in WSIT user forums. And thus I tried installing the latest CTP from Microsoft. But as always, there are different runtime and SDKs floating on the website (dejavu). Lets see which one are required.
The runtime components can be downloaded from here. There is a separate link for .NET Framework 3.0 Runtime Components Beta2 for Windows XP + SP2. But similar runtime components for Jun CTP are available for Windows XP only, no SP2. This is confusing but I took "Jun CTP" in the link name as the main indicator and hoped it was just a typo. Plug and Pray and yep, that was the correct runtime component.
The Windows SDK can be downloaded from here. If I click on 3rd bullet to download Windows SDK, then this is SDK for Beta2 of Vista and WinFX Runtime Components. This seemed incorrect but I still tried installing it and hoping it was a typo as in the previous case. But nope, not this time. Related Resources on the runtime website finally showed a link to the correct Windows SDK.
Now I can get back to my work.
BTW, The svcutil version is 3.0.4219.0.