This program will convert any video to iPod video format - usually mp4
http://www.erightsoft.com/SUPER.html
Read the faq on the site and the features. It's also FREE. I use it to convert all sorts of audio and video. I have also used this for about 2 years so even over time I haven't had any problems with it. So just take your DVD files and convert them this way. Just so you know a .VOB file is just an .mpeg file with some special headers so you can change the file extention from .VOB to .mpg without a problem. I do it all the time. Just remember that DVD video has 48 kHZ audio and CD's have 44 kHZ audio.