techkrazy,
Sounds like a faulty or dodgy flash memory chip you have in your player. For starters, formatting the player and having the memory reduced is not a good start either.
Have a look at this post:
http://www.mympxplayer.com/viewtopic.php?t=33. There is a link to the s1mp3.org site which outlines steps to fixing a dead player, which to me, this sounds like.
Hope this helps and good luck with it.
I haven't gone through the process myself luckily.