Of course, I have the advantage of a bigger, heavier, more powerful machine:
http://www.aloris.com/index.php/pages/Carbide%20Insert%20Cut-Off%20Blade.html Kinda spendy, but I've already managed to break a parting blade. Little Machine Shop is a good outfit, I bought one of their value packages to get started, not a bad way to go, and the prices seem reasonable, too. I especially like the QCTP, although I'm almost certainly going to replace it some time in the not too distant future. I got a 100 series post expecting to get a smaller machine, it works on my 12x24, but I really should have a 200 series, it would let me use bigger tooling. I think they also may sell an upgraded version of the module you fried, they have lots of upgrade parts for the mini-lathes. Good luck.
Dave