Dual boot Monoppix v1.1.8

I have been trying to dual boot from the Monoppix v.1.1.8 iso but to no avail. Monoppix v1.1.8 is based on Knoppix 3.2 I wonder why such an old version, had it been newer then I guess I would not have had problems booting from the iso. Currently when I try to boot I get the error "Can't find Knoppix filesystem." then it drops me to a "limited shell" with a few command line options.

I found out that after Syslinux starts up the first thing Knoppix wants to do is find and uncompress the filesystem (that big KNOPPIX file on the CD/ISO). Knoppix only probes for the CD on all SCSI and IDE buses. If it can't find then it throws the error above.