I used mmmonkey`s schematic that doesn`t include any IC`s:

This project is done with small PCB and mounted on top case (at the back side). I decided not to use any PCB and place VGA connector inside modem case (which I don`t use anyway).... so here are some pics










Reset button is very handy when sega stucks....

This is how it looks on crt monitor, very nice picture (on TFT looks awesome too)
I also added wires for s-video and serial connector.... I will put RJ45 connector for serial so I can connect another sega with ordinary UTP cable for multi-screen mode....