Hi Amol,
You must run SAPINST from the Software Provisioning Manager (SWPM) tool. This tool already comes with SAPJVM, so it is not necessary to use a vendor JDK and also, there is no need to set JAVA_HOME and SAPINST_JRE_HOME environment variables:
export JAVA_HOME=/usr/java/jdk1.6.0_51
export SAPINST_JRE_HOME=/usr/java/jdk1.6.0_51/jre
The relevant SAR file to be used is 70SWPM10SP03_1-20009701.SAR -> Linux on x86_64.
You can also refer to the note #1680045 for more information..
Best Regards,
Alessandro Parolin