its coming up with invalid torrent :/
and yes i got 10.5 latest one,deleted it and redownloaded it.
just looked in that folder and i seem to have a host and a hosts.umbrella
There's your issue! hosts.umbrella is created by the program tinyumbrella, which is used by jailbreakers to restore to old firmwares that are no longer signed by apple.
This is the same problem I had. Firstly, find tinyumbrella on the computer, if not, re download it. Then follow this guide, it worked for me:
http://www.mostlyblog.com/fix-itune-error-3194-using-tinyumbrella-while-updating-ios-4-3-3-firmware
Ignore the fact that it mentiones 4.3.3 and 10.2, it's the same nowadays, just follow those steps.