solr velocity not loading

[Umapathy S]

I  am running solr 4.6.1. Trying to get velocity running, but it throws
class not found error. solrconfig.xml already has the
VelocityResponseWriter added.

The Exception stack trace (snipped)

    {msg=lazy loading
error,trace=org.apache.solr.common.SolrException: lazy loading error
    at 
org.apache.solr.core.SolrCore$LazyQueryResponseWriterWrapper.getWrappedWriter(SolrCore.java:2305)
    at 
org.apache.solr.core.SolrCore$LazyQueryResponseWriterWrapper.getContentType(SolrCore.java:2324)
    at 
org.apache.solr.servlet.SolrDispatchFilter.writeResponse(SolrDispatchFilter.java:688)
...
Caused by: org.apache.solr.common.SolrException: Error loading class
'solr.VelocityResponseWriter'
    at 
org.apache.solr.core.SolrResourceLoader.findClass(SolrResourceLoader.java:470)
    at 
org.apache.solr.core.SolrResourceLoader.findClass(SolrResourceLoader.java:401)
    at org.apache.solr.core.SolrCore.createInstance(SolrCore.java:526)
    at 
org.apache.solr.core.SolrCore.createQueryResponseWriter(SolrCore.java:611)
    at org.apache.solr.core.SolrCore.access$300(SolrCore.java:133)
    at 
org.apache.solr.core.SolrCore$LazyQueryResponseWriterWrapper.getWrappedWriter(SolrCore.java:2300)
    ... 29 more
Caused by: java.lang.ClassNotFoundException: solr.VelocityResponseWriter
    at java.net.URLClassLoader$1.run(URLClassLoader.java:366)
    at java.net.URLClassLoader$1.run(URLClassLoader.java:355)
    at java.security.AccessController.doPrivileged(Native Method)
    at java.net.URLClassLoader.findClass(URLClassLoader.java:354)
    at java.lang.ClassLoader.loadClass(ClassLoader.java:425)
    at java.net.FactoryURLClassLoader.loadClass(URLClassLoader.java:789)
    at java.lang.ClassLoader.loadClass(ClassLoader.java:358)
    at java.lang.Class.forName0(Native Method)
    at java.lang.Class.forName(Class.java:270)
    at 
org.apache.solr.core.SolrResourceLoader.findClass(SolrResourceLoader.java:454)
    ... 34 more
,code=500}

I thought the solr.VelocityResponseWriter is built into solr core itself.
 Is it not the case with 4.6.1?

I have tried creating a lib directory inside example/solr/collection1 and
copying the velocity jars from contrib. I have also tried to copy those to
example/lib (this has all jetty dependencies). This hasnt worked either.

The wiki says put it in instanceDir/lib. What is the instanceDir here? Is
there anywhere else I should create a lib dir and try?

Thanks

Umapathy