On September 2, 1993, about 1114 eastern daylight time, a Mooney M20J, N191ER, registered to and operated by Embry-Riddle Aeronautical University, landed hard during a forced landing at the Daytona Beach Regional Airport, Daytona Beach, Florida, while on a 14 CFR Part 91 instructional flight. Visual meteorological conditions prevailed at the time and no flight plan was filed for the local flight. The airplane was substantially damaged and the certified flight instructor (CFI), pilot-rated student, and observer were not injured. The flight was originating at the time of the accident. After the student performed takeoff during the initial climb about 150 feet above ground level, the CFI reported that a loud popping noise was heard from the engine which then failed. The CFI took control of the airplane and with unsuitable terrain ahead and insufficient runway remaining, banked the airplane to the left. The airplane was landed hard on airport property. As a result, the left main landing gear was partially driven through the wing and the nose landing gear collapsed. The airplane was recovered and both wing fuel tank sumps and the gascolator were drained and checked for contaminants; none were found. A test propeller was installed and the engine was started and found to operate normally. The servo fuel injector assembly was removed for bench testing which revealed no evidence of failure or malfunction. The servo was then disassembled which revealed contaminant resembling gasket material inside the mixture control housing assembly. According to overhaul personnel, the location of the contaminant could cause a loss of power if the fuel jet were plugged. Review of maintenance records revealed that the servo was overhauled on May 21, 1992. It had accumulated according to the pilot/operator aircraft accident report form 498.5 hours since overhaul.