No, right now ITVC won't take VOB files directly, although if you'd like to file it as a feature request, it's not a bad idea. Of course ripping DVDs directly can't be supported in ITVC due to DVD encryption issues.

I think i mentioned this in another thread, but someone used the ITVC API to do one step DVD ripping/conversion: http://code.google.com/p/tutorial2tablet/

Again, Nokia can't support or endorse that kind of work, I am just mentioning that it's out there.