Any luck with either a reboot or reset gullwing? I guess if neither of those work, the only other thing I can think of is wiping out the iPod and reloading it. Wouldn't think it would be necessary as it is a new iPod but then again, this MFT so who knows? Couldn't hurt to try I guess.
Also, have you tried throwing any of that music on to a USB drive instead of an iPod to see if that makes a difference in the display?
.......here's a lockpick. It might come in handy if you, the master of unlocking, take it with you.