HI
Download mmty.exe from
http://www.4shared.com/file/44565543/32026ae8/mtty.html.
Now do the following:
1. Stop ActiveSync, by Task Manager (press Ctrl + Alt + Delete)
kill two processes rapimgr.exe and wcescomm.exe
2. put your device into the cradle
3. Run mtty and Choose WCEUSBSH001 in 'PORT' (if it doesn't show then you didn't stop all active sync processes above!)
4. type "set 16 0" without the quotes to tell bootloader to boot the OS after reset. (for some devices it can also be "set 14 0")
5. type "task 8" to get your device formatted
6. type "task 0" to ask your device reboot
7. take the device out of the cradle, and manually reset it if it does not do that already.
Good luck