I've got it working on Windows machine. What i@ve done was following all the steps above with one EXTRA.
1. Download all 4 games in ISO format, download Lips.4.in.1.zip and extract to its own folder
2. Use IsoExtract or Xbox Image Browser and extract all 4 games in their respectful folders... etc 3, 10, 13, 17
3. Go to the folder Lips.4.in.1.EUR, point the mouse cursor to the address bar (empty space with no text) and click, then type CMD
4. Now in the Console screen copy and paste Pack_Lips_4in1_WIN.bat - press ENTER
5. Wait for 5 minutes to run - DONE
6. New folder named Lips.4.in.1.EUR will appear - Copy it to your RGH xbox360