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MDA Compact III does not boot - PLEASE HELP!!

I have had an T-mobile MDA Compact III for just over a year now. Today suddenly the phone shutdown and then when I restarted it refuses to boot. All I can see is a screen with T-mobile logo at the bottom and some text at the top which says

IPL 1.13.0001
SPL 1.13.0001
GSM 02.49.90
OS 1.13.0.0

I had charged the battery yesterday evening and so that is not a problem. I've also tried soft and hard reset. In case of hard reset it says something like formatting complete and then again gets stuck at this screen.

Unfortunately the phone is just a month outside warranty.

Has anyone else faced a similar situation?

Am desperately looking for any suggestions on what is wrong with the phone and how to fix it? PLEASE HELP!!!

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