here you can buy new ATMEGA128 without taking from SC.
7 USD + 2 USD shipping worldwide, shipped from Thailand:
ATMEL ATmega128-16AU ATmega128-16 AVR TQFP-64 - eBay (item 390112924929 end time Mar-30-10 17:38:30 PDT)
please report, if using new ATMEGA128 solved your problem (my theory is, that ATMEGA128
inside some JAFs have disabled ISP/JTAG)