For some reason LD_LIBRARY_PATH value is not getting set through /etc/environment. All other variables are getting initialized properly when it is been set through /etc/environment. After searching for the solution I came to know after UBUNTU 9.04 release you are not able to set LD_LIBRARY_PATH from $HOME/.profile, /etc/profile, nor /etc/environment refer documentation
Run following command and restart the machine to workaround the issue.
echo STARTUP=\"/usr/bin/env LD_LIBRARY_PATH=\${LD_LIBRARY_PATH} \${STARTUP}\" | sudo tee /etc/X11/Xsession.d/90preserve_ld_library_path
For more details refer comment #17 at this bug report, aswell as refer