Thanks to both of you for the responses although I have been VERY lucky indeed.

I did try different things though like system resets and restores from the options panel but nothing worked.

After losing all hope I was going to try to reload the operating system back onto the machine, so I connected the T3 back on the PC and I noticed that the Recycled Bin wasn't empty (even though it was when the T3 wasn't connected), I looked into and THE FILES WERE THERE!!!! As you can imagine I wasted no time restoring those files, switched off the T3, started it again and breathed a sigh of relief to see the function working again.

So that was definately a lesson to learn for me, however, in my defence I thought it was a bit dangerous that each WAV file that gets converted to Audio gets saved into the main root mixed inbetween the system files that the T3 absolutely cannot function properly without! I just make sure I backup every time I make a change as suggested.

Thanks again.
Danny.