http://www.interfax.ru/politics/txt.asp?id=216123
Interfax reports that Phobos-Grunt isn't accepting commands. They say that they can downlink telemetry, but they can't send commands...
The spacecraft is in low earth orbit, the solar batteries aren't working yet and the antenna hasn't been deployed... this is what I understand. You can check the link if you want, with Google translate (for English-speaking fans)
You have to be careful with the translation.
The first paragraph is correct. The article says that there was a one way communication - SC sending telemetry to the ground station. Then they say that in order to establish a 2-way communication and uplink the commands they need to be on the interim orbit (slower angular velocity and longer visibility periods). (To be honest - I am not sure if this is actually true - yes, the elongated orbit will increase visibility windows but regardless you should be able to control the SC on the low orbit too)
Edit: understood. Visibility period (min) * 8kbit/sec bandwidth = limited volume of data that can be transferred within the comms window.
The second paragraph (that batteries are not working, antennae are closed etc) - these are just assumptions/thoughts of one of the experts (Uvarov). This is not official in any way.
If they won't be able to reestablish control of the SC and it stays on its current orbit then the reentry will occur in 5 to 10 days.