This paper presents a method to restore a degraded image with a known cause. Original image has been degraded by introducing a motion blur. Moreover, prior to this a Gaussian noise has also been added to the original image. Wavelet based algorithm, Lucy Richardson has been implemented to obtain the restored images. However an iteration of hundred times has been made with two different PSF. Obtained image has been found to be excellent. However presence of some noise in the restored image cannot be declined.