if its original (with Sony India Hologram & import sticker) you can take it to a nearby Sony service center who also repairs sony TVs & Audios (they provide warranty for IT products too)
The sony service centre guys ask for bill, else they dont even provide paid service also (experienced this when i went to them for getting my sony walkman repaired).....And being gifted, i dont think anything will be done...
Did you try to repair it yourself? You can format it by using HP USB Disk Storage Format Tool. Most of the pen drives comes to life with the process. Do this and report back.
^^i don't think so mate, because the displayed space if 0 Mb, because i also have a 256mb microSD card, which too space is displayed as 0mb, tried with HP USB Disk Storage Format Tool, but it didn't work for me