Got a brand new HD-E1 from Toshiba UK last night and EXACTLY the same thing happened to me - stuck on the WELCOME led's and could not even eject the tray or turn it off.
Could not even get a signal when plugged in to my TV.
Toshiba declared time of death last night and are sending me a replacement tomorrow
Sorry to hear that. Have you tried the usual turn off, unplug from mains, turn back on routine? We've had reports that some of E1s have displayed similar symptons and it's been suggested that upon delivery you should let the unit climatise to combat moisture etc. Otherwise it could well be that its DOA and I'd return to seller for refund/exhange.