Wow, a 1.72 in the wild. Now I know how those guys must have felt, that found the Coelacanth to be still alive...
I thought that thing would have been extinct for many years now.
To be honest, it is not really possible to provide help with an installation that is this old. Currently the support for 1.9x is going to be more and more difficult already. As there haven't been any updates for quite a few years now, this installation might also have quite a few security issues. I would strongly recommend to move on to LS 2.0. I also wouldn't "upgrade" but make a clean install instead, because there have been many, many changes since back then and you will also be surprised how much better LS has become.
Without being able to have a look into the backend of LS 1.72 I can only guess.
Usually you should find options for sending emails in the backend of LS. However, what sounds strange that it worked all the time and suddenly stopped. There must have been some changes either to the installation or the the server, otherwise it can't really be explained why it should suddenly stop.
In the newer versions in "Global settings" there is an option for "email settings". Check if you can find something like this.