I'm having problems with the new version too. I've tried the 1.61test deb and it still won't run on my 770. Run in xterm gives:

BusyBox v1.01 (Debian 3:1.01-4.osso12) Built-in shell (ash)
Enter 'help' for a list of built-in commands.

~ $ ukmp
Traceback (most recent call last):
File "/usr/bin/ukmp", line 22, in <module>
import MediaCenter
File "/usr/bin/MediaCenter.py", line 88, in <module>
from PyAtom import *
File "/usr/bin/PyAtom.py", line 25, in <module>
from PIL import Image
ImportError: No module named PIL
~ $

I hope that helps you track down the problem.
Thanks for developing such a good media player for us!