[HTH]

My case has already been reported to SOSfakeflash; they are working on their material for fixing fake/defective flashdrives...:

I bought a Kingston DataTraveler 2GB on eBay. It arrived looking very good, in solid packaging and with a case of convincing quality. But it lost/corrupted data when larger amounts were put on it, and tested defective with H2testw.exe Kingston ignored my warranty claim. I believe this was a counterfeit drive. Chipgenius.exe reported "PnP Device ID: VID = 1221 PID = 3234", "Chip Vendor: micov" and (controller) "Chip Part-Number: MXT8208".
However, I popped open the case, after having had no luck at all with the HP program or a couple different versions of MPTools. The actual controller chip inside had printed on it MW6208E. So chipgenius was apparently reading fake data, programmed by a counterfeiter...? The ink-based version of the controller ID led me to use UdTools1.0.4.6_20081010, and that worked, to reflash a low-level format that left me with a 1.5GB flashdrive, that tests good with h2testw.exe
Lucky me, I had my purchase price refunded so all I lost was time, hacking it back to a reliable 1.5 GB ...UdTools was downloaded from H-teeteepee.dubyadubyadubya.flashboot.ru/uploads/files/public/UdTools1_0_4_6_20081010.rar

If you try it, ignore the flashing of your drive on program startup, it won't start the format and show you any actual progress until you click on the left-side button with your flashdrive's drive letter on it. Keep default settings, at least to start! It worked for me, good luck to any other penny pinchers out there, or people who thought Kingston was a reliable brand, even when shipped from Hong Kong. -HTH