KingofJames,

trying to jump in here, although I installed KAGU a couple of times now without such errors, here is what I would do

1) install python 2.5 first
http://maemo.org/downloads/product/python

2) install KAGU from this location
http://maemo.org/downloads/product/kagu

what I usually do is to open those pages in a web browser window, klick those links, but I do NOT install directly from the link, but download the install package to a local N800 directory location (e.g. documents). then I open the install files from there, the N800 recognizes it is an install file, opens the appication manager, and starts the installation. later on I delete those install packages from the temportary location (e.g. documents).
Don´t know why, but I usually have less problems doing it this way then to install it directly from the web...?...?...?

good luck,
karl.