I had pretty much the exact same problem on top of a whole mess of other problems. Basically the console was trying to access a file on the DATA partition of the drive (where all the backups are stored) when opening, and that file had become corrupt, or missing, or something. I dont know exactly. And since it would not let me delete all my backups or anything like that, I ended up having to do a COMPLETE re-installation to get rid of everything on the DATA partition so that the console would open correctly. Of course, I had all of my personal files (just the shares folders, not the whole partition) on a seperate external HDD to keep my files. I am not telling you that this is what you should do, but just telling you that this is the only thing that fixed the problem for me. Just make sure if you have to resort to this to back up all of your personal files in a seperate location and do a COMPLETE server reinstall. The recovery install or whatever its called did nothing for me because it left that corrupt backup file that it was trying to access on the DATA partition.
Sounds like a problem with the latest update or something, because before this month, I could remove/add my USB HDD and not have this problem. Now it seems that if a hard drive fails, WHS does not know how to recover from it. Just my observations.
