Skaro was able to do that only in his imagination.
Thanks for the vote of confidence Pego99 but I can assure you I did it and it worked fine.
First thing I would say is that I have an official developer account so I am not sure if that is what makes the difference here.
The steps I followed were really simple:-
1. Grab a copy of the original ipsw for 3.2.1
2. Open XCode 4 and go into Organizer
3. Select the iPad on the left hand side
4. On the right hand side, click on the drop down list where it says other version and select your 3.2.1 download.
This worked for me fine - took me from 3.2.2 back to 3.2.1 and I was able to jailbreak again. iTunes didn't work for me at all no matter what I tried.
Skaro.