Yes- that folder on the PC is the Synchronised Fles folder. This reflects the contents of the My Documents folder in the main memory of the Touch. Any files in either location will be copied, and if necessary, converted to the correct format.
Back to your main issue, there are some intriging facts which defy rational explanation!
Some of your contacts and Appintments will not copy to the Touch
This is despite a whole set of revamping everything possible and fresh installs f all the relevant apps
A factory reset of the Touch failed to cure things
Exporting/reimporting Outlook data failed to cure the problem
Removing/remaking partnerships fails to solve the issue
Newly created items seem to sync OK.
The same Outlook data syncs to your daughters SPV M2000 without any problem
Right up to that last point, I would have said this looks like a data error within Outlook, but the fact that this same data syncs to a WM2003 device perfectly may belie that opinion.
That leaves the unlikely possibility that this could be a hardware fault. I've been around these devices for years and have to say I haven't encountered any hardware fault that could account for this, except on a device last year where a faulty USB cable caused errors in syncing. The next step would be to try & obtain another Touch (beg, steal, borrow etc
) and see if it exhibits the same problem? Unlikely I know but.....