Khang, even though you have the backup firmware on your cd...which you said doesn't work... try downloading this 3.2.13 firmware from s1mp3.org and see if you can at least get it out of recover state. Then you'll at least be able to save files on your player.
Here's the link:
http://s1mp3.org/files/firmware/fw_f...orig_3.2.13.7z