Dude, you and all others with this error should sue Nintendo for that. It doesn't matter if your console was modified or not. Once Nintendo decided to update it, if something strange was detected they should just stop and let it the way it was. They could even say that it was out of warranty from now due to 'unalthorized' modification, but never brick it! It was your property in your house damaged on purpose by Nintendo. So sue them!
I think Nintendo is testing us. First they start bricking region converted wiis, after those which can play backups, what next? brick if HBC or any "unauthorized' title is found?
It is just like if MS decide to make Windows to stop booting because it found you are using Firefox and OpenOffice insted of Internet Explorer and MS Office. That's is insane!
What would you do if, let's say, Sony, knock your door and offer you to "update' your TV for free, and once they found that something was modified inside it, they brick it and leave your home saying you did something unauthorized with your property???
While in my opinion they should at least fix it for free, some users are saying that the are REFUSING to fix it even if they pay for that. That's unacceptable!
If you want to understand what pass through Nintendo's mind, I point you to this article:
http://hackmii.com/2009/04/warranty/
We must do something against this position.