mold problem--sphag & bag

[Annika]

I've had a phal in a bag for the last 6 weeks or so. It's not doing so well...lost a leaf, for one thing, and the roots don't look any better and are maybe a little worse. But the biggest problem has been MOLD. I've treated it with Physan 20--soaked it for 10 minutes or so--and still it came back. I've left the bag open at the top, but that hasn't changed the situation. Should I dip it again? Even the old spike grew mold. I tried to cut it back as close to the crown as possible, but I think that it's still growing mold...MOLD, MOLD, MOLD!! GRR. Send me/my phal a lifeline, please!