Richard,
You may have to leave the batteries out for as much as a day or two (or in my case, two weeks) to get the Newton to power back up again. I don't know if you've tried it, but you may want to also try the 'hold-the-switch-down-to-the-count-of-five-six-times' (or is it to the count of six five times?) trick, which drains the capacitor which allows you to remove the batteries while providing a trickle of power to the unit.
At any rate, this may be a chronic problem, one which I experienced over and over with my 120 until Apple graciously replaced it (with a 2000! Can you believe it?!?), and now with my MP2K as a result of a fall. My long-distance diagnosis, sight unseen, is that if you paid for an operating MP120, you should get an operating MP120, not one in which you have to do all sorts of finagling to get it to work. I would hope that whoever you bought it from would be gracious enough to refund your money and pay you for the cost of shipping it back.
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