I'm having the same issue. brand new TP, I had my MP3's on a 2GB card. Here's what i've done to troubleshoot:

Moved about 15 MP3's from the storage card to the "my music" folder and removed the card from the device all together. disabled TouchFlo, deleted the file mentioned above, enabled touch flo, went to the audio tab, crash.

Disabled TouchFlo, moved the MP3's from the "my music" folder to the MUSIC folder on the root of the device (same folder where the default music is stored), deleted the above file, enabled Touch Flo, went to the Audio tab...crash.

HARD RESET, did both of the procedures above, crash.

I gave up using the audio tab and am listing to music via Windows Media Player.