Seattle's KIRO 7 has an interesting investigative report (with the full video report) about...

Apple Downplays Fiery iPod Incidents

Their 7 month long investigation about iPods either bursting into flames or getting hot enough to cause what appears to be serious looking skin burns. KIRO's investigative reporter, Amy Clancy, was able to obtain more than 800 pages of documentation from the Consumer Product Safety Commission (CPSC) reporting iPods bursting into flames or heating up high enough to burn skin.

The CPSC told KIRO's reporter that they are not issuing a recall because the number of incidents relative to the large number of units sold is very slow and that current generation iPods use a different battery type.

The video reported (linked above) is definitely an interesting one to watch if you have the time and inclination to do so.