I freed up space in my laptop, restarted the computer and ran-
sudo apt-get install -f

The Update was completed and package gdm was updated correctly. I think that 
the problem was with the lack of space. The downloaded update files was nearly 
<165MB( since, I haven't run the updates lately). I had only nearly 400-500MB 
remaining in my hard-disk, it didn't occur to me that to install all the 
packages when uncompressed it may take up more space.
It would be nice if some sort of error message is included while 
updating/upgrading  to warn the user of low-disk space, for the sake of newbies.

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https://bugs.launchpad.net/bugs/717587

Title:
  package gdm 2.30.2.is.2.30.0-0ubuntu5 failed to install/upgrade:
  subprocess installed post-installation script returned error exit
  status 1

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