I have multiple IP addresses on the SQL Machine. Is there any way by which MS SQLServer Service only listen on a specific IP adress rather than all IP adresses.

short answer is no

groups.ggogle.com has the specific answer

http://groups.google.com/groups?hl=en&lr=&ie=UTF-8&oe=UTF-8&threadm=b7Gpr%23BACHA.2136%40cpmsftngxa08&rnum=2&prev=/groups%3Fq%3DSQLServer%2BService%2Bonly%2Blisten%2Bon%2Bspecific%2BIP%2Baddress%26hl%3Den%26lr%3D%26ie%3DUTF-8%26oe%3DUTF-8%26selm%3Db7Gpr%2523BACHA.2136%2540cpmsftngxa08%26rnum%3D2

I don't think you can, it listens on all IPs :( Sorry.

Why not just use IPSec to block all IP's on that port, but the one you'd like to use?