Ruby On Rails Installation Error

Hello

I am trying to install rails on my gem (trying to migrate to my original
ruby onto new server and want to keep existing verison of ruby and
gems). However I am getting below error when tyring to install rails.

gem -v
1.0.1

gem install rails --include-dependencies
/usr/local/lib/ruby/site_ruby/1.8/rubygems/custom_require.rb:27:in
`gem_original_require': no such file to load -- zlib (LoadError)
        from
/usr/local/lib/ruby/site_ruby/1.8/rubygems/custom_require.rb:27:in
`require'
        from /usr/local/lib/ruby/site_ruby/1.8/rubygems/package.rb:10
        from
/usr/local/lib/ruby/site_ruby/1.8/rubygems/custom_require.rb:27:in
`gem_original_require'
        from
/usr/local/lib/ruby/site_ruby/1.8/rubygems/custom_require.rb:27:in
`require'
        from /usr/local/lib/ruby/site_ruby/1.8/rubygems/format.rb:9
        from
/usr/local/lib/ruby/site_ruby/1.8/rubygems/custom_require.rb:27:in
`gem_original_require'
        from
/usr/local/lib/ruby/site_ruby/1.8/rubygems/custom_require.rb:27:in
`require'
        from /usr/local/lib/ruby/site_ruby/1.8/rubygems/installer.rb:11
         ... 11 levels...
        from
/usr/local/lib/ruby/site_ruby/1.8/rubygems/command_manager.rb:103:in
`process_args'
        from
/usr/local/lib/ruby/site_ruby/1.8/rubygems/command_manager.rb:74:in
`run'
        from
/usr/local/lib/ruby/site_ruby/1.8/rubygems/gem_runner.rb:39:in `run'
        from /usr/local/bin/gem:22

Found the issue...it was problem with library path.