I've been trying to restore my Ipod Touch 2G for the past 5 days now with no luck.

Now, I don't know what MC is to a 2nd gen itouch is and I don't know if I have it or not. I haven't checked on it's definition as of yet...

I can hook my ipod to my computer and turn it on in DFU mode. I've tried a number of apps that work on windows 7 to reboot the ipod or kick it out of DFU mode and it does not work. 1clickboot, Blackra1n, etc...

1clickboot gets as far as "USB Resetting..." and that's it. Itunes 9 and 10 give me an error 1601 and I've done a lot of research to either bypass it or do a workaround but nothing works.

Itunes restore logs tell me this...
(Last 2 lines)

2010-09-16 16:08:37.607 [4952:1078]: <DFU Device 07735FD8>: DFU succeeded
2010-09-16 16:12:37.853 [4952:b34]: iTunes: Restore error 1601

The closest I can come up with is that the Itouch cannot restart when prompted to do so. Info can be sent to the ipod and then the usb port will reset...but the ipod will be off and the process cannot continue.

Not sure what else to do other then bring the ipod to an Apple store.