erm ... is it only LW that's affected thru that wifi or browsing also? I don't know anything about connecting via an itouch wifi. Is there an iTouch support site? If yes it might even be worth going there to find out some information.

I checked out the site and they said if your having problems and no solutions have worked, try restoring the system settings. The only proplem is it will delete everything on the itouch and i will lose everything.