Thanks for your efforts, BUT problem remains same -SAD
I installed Fix provided by you one by one, still not able to connect to surf.
here is my log from Wvdail window:-
Editing `/etc/wvdial.conf'.
Scanning your serial ports for a modem.
ttyS0<*1>: ATQ0 V1 E1 -- failed with 2400 baud, next try: 9600 baud
ttyS0<*1>: ATQ0 V1 E1 -- failed with 9600 baud, next try: 115200 baud
ttyS0<*1>: ATQ0 V1 E1 -- and failed too at 115200, giving up.
Modem Port Scan<*1>: S1 S2 S3
ttyUSB0<*1>: ATQ0 V1 E1 -- OK
ttyUSB0<*1>: ATQ0 V1 E1 Z -- OK
ttyUSB0<*1>: ATQ0 V1 E1 S0=0 -- OK
ttyUSB0<*1>: ATQ0 V1 E1 S0=0 &C1 -- OK
ttyUSB0<*1>: ATQ0 V1 E1 S0=0 &C1 &D2 -- OK
ttyUSB0<*1>: ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0 -- OK
ttyUSB0<*1>: Modem Identifier: ATI -- Manufacturer: huawei
ttyUSB0<*1>: Speed 9600: AT -- OK
ttyUSB0<*1>: Max speed is 9600; that should be safe.
ttyUSB0<*1>: ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0 -- OK
ttyUSB1<*1>: ATQ0 V1 E1 -- failed with 2400 baud, next try: 9600 baud
ttyUSB1<*1>: ATQ0 V1 E1 -- failed with 9600 baud, next try: 9600 baud
ttyUSB1<*1>: ATQ0 V1 E1 -- and failed too at 115200, giving up.
ttyUSB2<*1>: ATQ0 V1 E1 -- OK
ttyUSB2<*1>: ATQ0 V1 E1 Z -- OK
ttyUSB2<*1>: ATQ0 V1 E1 S0=0 -- OK
ttyUSB2<*1>: ATQ0 V1 E1 S0=0 &C1 -- OK
ttyUSB2<*1>: ATQ0 V1 E1 S0=0 &C1 &D2 -- OK
ttyUSB2<*1>: ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0 -- OK
ttyUSB2<*1>: Modem Identifier: ATI -- Manufacturer: huawei
ttyUSB2<*1>: Speed 9600: AT -- OK
ttyUSB2<*1>: Max speed is 9600; that should be safe.
ttyUSB2<*1>: ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0 -- OK
Found a modem on /dev/ttyUSB0.
Modem configuration written to /etc/wvdial.conf.
*** WARNING! Line "115200"
in /etc/ppp/options may conflict with wvdial!
ttyUSB0<Info>: Speed 9600; init "ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0"
ttyUSB2<Info>: Speed 9600; init "ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0"
Welcome to PupDial, written by Barry Kauler, with
contributions from Richard Erwin, for Puppy Linux.
There is a configuration file, /etc/wvdial.conf, that is read by
PupDial, and changes made to any of the above boxes will be saved
to wvdial.conf when you click the 'Exit' or 'Connect' buttons.
Note, you can also manually edit wvdial.conf with a text editor.
If you are using PupDial for the first time, it is recommended that
you click the help buttons, in particular the 'Modem setup' button.
And after Connect this LOG is from pupdail-WvDail window:-
--> WvDial: Internet dialer version 1.61
--> Warning: section [Dialer wireless] does not exist in wvdial.conf.
--> Initializing modem.
--> Sending: ATZ
ATZ
OK
--> Sending: ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0
ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0
OK
--> Sending: AT+CGDCONT=1,"IP","rcomnet"
AT+CGDCONT=1,"IP","rcomnet"
OK
--> Modem initialized.
and this one is from old puppy5.7 (Working) :-
--> WvDial: Internet dialer version 1.53
--> Initializing modem.
--> Sending: ATZ
ATZ
OK
--> Sending: ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0
ATQ0 V1 E1 S0=0 &C1 &D2 +FCLASS=0
OK
--> Sending: AT+CGDCONT=1,"IP","rcomnet"
AT+CGDCONT=1,"IP","rcomnet"
OK
--> Modem initialized.
--> Sending: ATDT*99#
--> Waiting for carrier.
ATDT*99#
CONNECT
--> Carrier detected. Starting PPP immediately.
--> Starting pppd at Thu Dec 31 12:14:09 2015
--> pid of pppd: 6881
I donot know if this can help you to find missing BUG.
. In the near future we are going to have to move away from wvdial/wvstreams to something which is light, maintained and most of all works! But what? 
Maybe we can write our own frontend to ppp?