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we are using grid v1.5 and all our grids are set to skin type gray. We have enabled the autoheight and autowidth property for all our grids but still we see the horizontal and vertical scroll bars. Why is this happening?

The problem can't be reconstructed with latest version of grid (1.6), sample attached.
You can try to update your version to latest one. If by some reason migration to 1.6 is not possible in your case, contact us directly at support@dhtmlx.com and provide your ref number - we may provide latest build of dhtmlxgrid 1.5 which must fix issue as well