Hey I have the same problem. It only started after the ipaq slipped out of my hands and hit the ground. Now I get the same exact error message you do.
I can no longer use the fingerprint reader and also the calendar button doesn't work. I've tried a normal reset, but that hasn't worked. I've tried doing a hard reset, but the calendar button needs to be working to do a hard reset. So I haven't been able to complete a hard reset.
Anyone have any suggestions on fixes???
jrs163@yahoo.com - please let me know, I would appreciate it!
Joe