I2C CONFUSION, Help needed please

[FromTheCockpit]

My Code is this:

Include "modedefs.bas"
DEFINE OSC 4

#CONFIG
ifdef PM_USED
device pic16F688, intrc_osc_noclkout, wdt_on, mclr_on, protect_off
else
__config _XT_OSC & _WDT_OFF & _PWRTE_ON & _MCLRE_ON & _CP_ON & _CPD_ON & _BOD_ON & _IESO_ON & _FCMEN_ON
endif
#ENDCONFIG

DEFINE DEBUG_REG PORTC
DEFINE DEBUG_BIT 3
DEFINE DEBUG_BAUD 2400
DEFINE DEBUG_MODE 1

DEFINE I2C_SLOW 1
'DEFINE I2C_HOLD 1
'-----------------------------------------------------
PORTA=0
PORTC=0
TRISA = %000100
TRISC = %110000
CMCON0 = 7
ANSEL = 0
OPTION_REG = 128
INTCON=128
'-----------------------------------------------------
Value Var word
'------------------------------------------------------------
SCL Var PortC.5
SDA Var PortC.4
Change Var PortA.2
LED Var PortC.0
'---------------------------------------------------------
Pause 500
DEBUG "Start......",13,10
value=0

Main:
High Led : Pause 1000: Low Led : PAUSE 1000

I2CREAD SDA,SCL,$1B,0,[VALUE],Fail
PAUSE 25
DEBUG HEX Value,13,10
PAUSE 250
DEBUG "Done....",13,10
Goto Main

Fail:
toggle portc.2
goto main

PortC.2 keeps toggling along with normal LED.

I have also attached the device datasheet. I really appreciate the help in this.