I am able to send an email successfully to my gmail account and the mail goes to the INBOX, but when i send it to hotmail it reaches the Junk/Spam folder?
I am using System.Net.Mail to send email.
Gmail and Hotmail will be running different junk mail filters so while your e-mail is acceptable to one it might not be to the other.
Make sure that your e-mail is well formed:
You could try sending the mail as plain text rather than HTML.
The fall back position is to tell your subscribers to add your sending e-mail address to their white list. It's not ideal, but it will allow your e-mails through.