Replying to Seo Effects Of Being Hacked

In past month, my website was attacked by hackers twice. Both of the times, they succeeded in putting phishy links on the website. Once, because of my exams, I was unable to check my email for a few days and durng that time, my website was suspended for phishy activity. The second time, I did respond to the emails quickly and removed the links in a few hours. But the links did appear on my website for that period of time.
A few days back, when I was checking my google webmaster tools, I found a few links back to my website that linked to it as a spammy website. I don't remember the name of the service but they had reported my website as spammy and they included it in their directory of phishy sites. That was really heartbreaking for me because my website is not phishy. In fact, I was the victim of the attack.

After the attackes, I am seeing considerable reductions in income from my site. To be more specific, the income is dropped down to about 40% of what it was before the attackes. The search engine rankings are all dropped and despite my efforts to restore them to normal, the rankings are not getting better. The traffic to my website has dropped significantly. I have made no changes or done no other inappropriate activities. So natually the blame goes onto the attack.

Has anyone of you ever experienced a similar problem. What should be the road map for me now? I have put a huge amount of effort onto my website and I can't watch it stumble because of some bl**dy hacker. Should I keep on putting my efforts onto the website? I am stuck,.