Thanks, but I'm afraid you are not getting what I'm trying to ask. Let me try to simplify it more. I'm basically trying to create transform tool like one in Adobe Photoshop, in the same way I'm trying to re-create in Web.
When the element (circle) is clicked ==> The transform lines should show up ==> and when transform lines are dragged the element (circle) should resize.
I hope I'm able to help you understand my query.