Once I start creating the motion meny for my VCD in TSCV, it opens up TMPGENC which fails saying that "seq-seq-0000000.jpg" can not open, or unsupported

I tried to re-do that step acouple of times after seeing a buring guide on this site, but always the TMPGenc step failed....
I'm sure I'm doing something worng, but I dont know what... Can somebody help?

Thanks in advance....

TSCV version is 084 beta release 2 TMPGenc is 2.57, windows XP