I take it back
After checking the site again this morning.. I found few issues
1- Although all tables in db have been converted to UTF-8, the sum at the buttom still shows the total tables are still "latin"
2- Arabic language got totally messed up in Mobile styles
3- when I tried to upgrade to latest release 4.1.12PL1, it hung at 41%, had to rerun upgrade script to get it done.
4- Arabic language with all different settings became garbage (windows-1256 and UTF-8)
I even installed a UTF-8 Arabic file that I use on another site and it didn't display right.
That's my latest report.. I am going back to reload the backup and finish my upgrade.. Thanks anyway.. I will try to play with this again later after I am done with restoring my site and getting it back running.
Regards