On July 2001, at 1535 eastern daylight time, a Lake LA-4, collided with the ground and burst into flames shortly after takeoff from the South Lakeland Airport in Mulberry, Florida. The airplane was operated by the private pilot under the provisions of Title 14 CFR Part 91, and visual flight rules. Visual meteorological conditions prevailed at the time of the accident and no flight plan was filed for the local flight. The private pilot and the pilot-rated passenger received no injuries, and the airplane sustained substantial damage during the collision and the post-crash fire. The flight departed Mulberry, Florida, at 1500. According to the pilot, he completed a normal engine run-up prior to the attempted takeoff and no abnormalities were noted with the airplane. However, shortly after lift-off from runway14/32, the engine rpm went to idle. There were no abnormal noises heard, and the pilot was not sure if the engine had quit. According to an eyewitness, the engine began to sputter and subsequently quit. Reportedly, the pilot initially attempted to return to the departure airport, but subsequently selected a nearby clearing for an emergency landing. The airplane collided with rough and uneven terrain as the pilot maneuvered the airplane for the emergency landing. The post-accident examination of the engine assembly found that it rotated through and drive train continuity was established through the accessory gearbox. Engine ignition system continuity was also established, and ignition sparks were observed in both magnetos. The spark plugs were examined and were gray in color. There was no visible contamination in the oil filter element or suction screen. An engine field compression check was also completed. The examination also disclosed extensive fire damage to the airframe. The pilot estimated that approximately 40 gallons of fuel were on board the airplane at the accident. Examination of the airframe and the engine assembly failed to disclose a mechanical malfunction or a component failure. During a telephone conversation with the pilot/owner of N1235L, on November 24, 2001, he stated that he had owned this airplane for approximately 25 years. He also stated that in approximately 1990, he experienced a sudden loss of engine power in flight. During this emergency, he landed the airplane safely. The subsequent engine examination failed to disclose the source of the sudden loss of engine power.