I have partially uninstalled wireless driver iwl4965, wireless never worked, no option to install proprietary drivers

First of all, the installation of firmware-b43-installer is inconsequential. It will do no harm and needn't be undone.

Second, the correct driver, iwl4965 is blacklisted, preventing it from loading on boot. Please open a terminal and do:

sudo gedit /etc/modprobe.d/blacklist.conf

Use nano, kate or leafpad if you don't have the text editor gedit. Remove the very last line which now reads: blacklist iwl4965. Proofread carefully, save and close the text editor.

Next, the contents of the file you quoted, /etc/modprobe.d/iwlwifi.conf, appear correct and are, in any case, not relevant to your troubles.

We see several attempts and failures to connect to your access point. Please carefully check the password. For example, ChiliPepper is not the same as chilipepper. Second, check the settings in the router. WPA2-AES is preferred; not any WPA and WPA2 mixed mode and certainly not TKIP. Second, if your router is capable of N speeds, you may have better connectivity with a channel width of 20 MHz in the 2.4 GHz band instead of automatic 20/40 MHz, although it is likely to affect N speeds. I also have better luck with a fixed channel, either 1, 6 or 11, rather than automatic channel selection. Also, be certain the router is not set to use N speeds only; auto B, G and N is preferred. After making these changes, reboot the router.

Next, I recommend that your regulatory domain be set explicitly. Check yours:

sudo iw reg get

If you get 00, that is a one-size-maybe-fits-all setting. Find yours here: http://en.wikipedia.org/wiki/ISO_3166-1_alpha-2

gksudo gedit /etc/default/crda

Use nano or kate or leafpad if you don't have the text editor gedit. Of course, substitute your country code if not Iceland. Change the last line to read:

REGDOMAIN=IS

Proofread carefully, save and close the text editor.

Next, I'd set IPv6 to Ignore in Network Manager: http://docs.fedoraproject.org/en-US/Fedora/18/html/Installation_Guide/images/netconfig/network-connections-ipv6-ignore.png This example is for ethernet, but you want wireless.

If these changes do not help, please try:

sudo -i
echo "options iwl4965 11n_disable=1"  >  /etc/modprobe.d/iwl4965.conf
exit

Reboot and tell us if there is any improvement.

EDIT: Network Manager will default to the usually faster and more secure ethernet if it is available. I notice that, when you ran the wireless_script, ethernet was connected. As we attempt to troubleshoot wireless, please be certain that the ethernet is detached.

We don't know much about why the wireless will not connect. Please look for clues here:

cat /var/log/syslog | grep -i network | tail -n25

Post the result here and give us the link: http://paste.ubuntu.com

Let's try to compile the very latest driver. Download this package to your desktop: https://www.kernel.org/pub/linux/kernel/projects/backports/2015/11/15/backports-20151115.tar.gz Right-click it and select 'Extract Here.' Now, back to the terminal:

sudo apt-get install linux-headers-generic build-essential
cd ~/Desktop/backports-20151115
make defconfig-wifi
make
sudo make install

Reboot and tell us if there is any improvement.