The Workaround is to register different aliases to the same IP in the hosts file
and associating each alias with one CF server instance when there are multiple instances running.
Eg: In the machine where Server Manager AIR application (or the MultiServer Monitor) is running, add the multiple hostnames to the servers
Say on the machine 10.101.25.22 , 3 ColdFusion instances are running and on the machine where Server Manager AIR application (say 10.28.272.28) add as follows in the hosts file
And while registering the CF server instances use prod-1 for one instance, prod-2 for second instance & prod-3 for 3rd instance as host names.
This resolves the issue.