I see that there are too may (111) URLs in my home or Main page. In the Main or Home Page there are around 10 posts being displayed. I want to remove all the TAGS, CATEGORY and READ MORE options (URLs) from each of these posts from MAIN page. Instead I just want them inside the post and not in the main page. What exactly do I need to modify.

Fixed it myself.
Just go to Visit Appearance -> Montezuma Options -> Sub Templates -> postformat.php

removing the entire final "div".
When you click on the post it will show all the tags and category.. by removing final div it will only remove from the home page and this is good for SEO as well.

Ah.. I still have issues. The tags, read more and category is done. but I just made it invisible for humans but not to search engines... It can still read all of these links.

This is the message that I got after modifying the code. There were 111 URLs from my home page before and even now.

"Web page analysis.
This page contains too many URLs.
This web page contains 111 urls. Some Search Engines have problems with more than 100 urls on a page."

The search engine may have a cached copy, and it may take a few days to update. If you can't read it in view source, neither can search engines. They're not psychic.